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SUPPLY CHAIN

MANAGEMENT
By
KARTHIGEYAN.S -13UTB13
RAKESH KUMAR .G -13UTB48
SATTANATHAN.S -13UTB49
GUNA SEKAR. I - 13UTB46

Tuesday, 3 June 2014

Geographical Background

Tuesday, 3 June 2014

Sivakasi
Situated in Virudhunagar district
Has an arid and hot climate
Known for its burgeoning Safety Matches and
Fireworks Industries

Tuesday, 3 June 2014

Geographical Products: Matches &


Fireworks

Tuesday, 3 June 2014

The Safety Matches Industry in


Sivakasi
First Match Unit established in 1923
The South India Lucifer Match Industry
Highly labor intensive and Less technology
intensive
60% of Indias production
30000 directly employed

Tuesday, 3 June 2014

Product Line - Match Industry


Safety Matches
Strike-Anywhere Matches

Tuesday, 3 June 2014

The Role of Related Products in the


Supply Chain of Match Industry
Sourcing - Red Phosphorus, Matchwood
Production - Boxes and Match sticks
Distribution and POS - Matchboxes
Used invariably throughout households,
temples, eateries and small-scale pawn shops

Tuesday, 3 June 2014

The ProducDon Process


Arranging the Match Sticks
Stacking of match stick racks

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The ProducDon Process (Contd.)


Dipping Process
Match box packaging and Coating

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The Packaging Process


Manual Packaging methods

Tuesday, 3 June 2014

The SCOR Model


PLAN

SOURCE
MAKE
DELIVER

RETURN
Tuesday, 3 June 2014

Demand/Supply Planning

Inventory Management/Supplier
Networks, Agreement & Performance

Production/Packaging and
Release
Order Management/
Warehousing/Logistics

Returns/Management of business
rules/Regulatory Requirements

The SCM Flow in Match ProducDon


Arranging &
Drying

Point of
Sales

Packing &
Distribu4on

Tuesday, 3 June 2014

Dipping

Match box
Coa4ng

Costs

The cost of matches typically ranges from


Re.1 - Rs. 10/-

Tuesday, 3 June 2014

The Fireworks Industry in Sivakasi


90% of Indias fireworks production
Valued at Rs. 800-1000 crores
Growth rate at 10% per annum
Roughly 460 factories employing 40,000
workers

Tuesday, 3 June 2014

Product Line - Fireworks Industry


Noise
Light
Smoke
Float

Tuesday, 3 June 2014

Major Products
The major products are :
Sparklers
Sky Crappers
Ground crackers
Flower Pots and Chakkars
MulD Sound Crackers
Bombs
Twinkling Stars

Tuesday, 3 June 2014

The Role of Related Products in the


Supply Chain of Fireworks Industry
Sourcing - Chemicals (Magnesium,
Magnalium, Sulphur, Ammonium nitrate,
Barium nitrate, Charcoal, Turpentine), Boxes
Production - Chemicals, Threads
Distribution and POS - Firecraker boxes
Primarily used in celebrations
Seasonal demand
Celebrate birth and death :-)
Tuesday, 3 June 2014

ProducDon Process
Varies for each type of firework
Usually involves:
Mixing, Rolling, Drying, Threading, Testing
and Packaging

Tuesday, 3 June 2014

The ProducDon Process (Contd.)

Tuesday, 3 June 2014

The SCM Flow in Fireworks Industry


Sourcing

Retailers

Distribu4on

Tuesday, 3 June 2014

Produc4on

Packaging

The SCOR Model


PLAN

SOURCE
MAKE
DELIVER

RETURN
Tuesday, 3 June 2014

Demand/Supply Planning

Inventory Management/Supplier
Networks, Agreement & Performance

Production/Packaging and
Release
Order Management/
Warehousing/Logistics

Returns/Management of business
rules/Regulatory Requirements

COMPETITORS
Since it is a vast market in that geographical
area the numbers of competitors are quite high.
The Major Competitors are :
Standard fireworks
Anil fireworks
Cocktail
Peacock Crackers
Ayyan
Tuesday, 3 June 2014

Costs
Red Phosphorous - Rs. 750/Kg
Turpentine - Rs. 1400/litre
Ammonium nitrate - Rs. 30/Kg
Barium Nitrate - Rs. 40/Kg

Tuesday, 3 June 2014

Cost

The cost of fireworks ranges from


Rs12 - Rs 5000/-

Tuesday, 3 June 2014

Thank
You
Tuesday, 3 June 2014

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