when even armani is not right ,switch to boiler suit for survival.#supplychain
Post on 05-Jul-2015
577 Views
Preview:
DESCRIPTION
TRANSCRIPT
Peel your oranges before you eat
Ship spares procurement by segmented supply chain
Cheapest traffic means
Plays important role in international trade.
Possesses high load carrying capacity.
Requires cheap motor powers than for airplanes.
Does not require any special infrastructure like roads, and airports.
Ship spares procurement by segmented supply chain
Availability of excess capacity and slow growth in international trade is dragging the industry, and putting downward pressure on the charter rates.
Reduced cash flow ,and issues of dept servicing on loans taken for assets in the 08-09 when assets prices were high will continue to hurt the industry
Dry Bulker market will be badly hit on account of new builds joining the fleet, and bunker prices are likely to stay firm
Container and tanker segment will some resilience ,however it is unlikely to hold its turf through the year.
Bottom line will be under severe pressure ,and some segments may also report net loss
Ship spares procurement by segmented supply chain
% Rate of discharge of cargo from the vessel at the port
% Non stop destinations operated
% on time delivery
Fuel Consumption /hour
Incident free Voyage
Sustainability
Y:Process Output X:Drivers which lead to the outcome
S.No Y (X)
1 Rate of discharge of cargo from the vessel at the port
Condition of cranes,portcongestion
2 Non stop destinations operated
Condition on Main Engines, Auxiliary Engines, Propulsion Systems
3 %on time delivery, incident free voyage
Do
4 Fuel Consumption /hour
Do
Three of the four KPI of sea transportation business depends upon the maintenance of the vesselShip
maintenance is the life line of this industry
Ship spares procurement by segmented supply chainPEEL YOUR ORNAGE EFFECT
MONTHLY REVIEW WITH SHIPS CRITICAL(CLOUD BASED MONITRING)
ENGAGE 1 OR 2 SUPPLIERS GO FOR ANNUAL CONTRACTS
VENDOR MANAGED INVENTORY
Rapid Response Inventory
management module
Low HighOperational Impact
High
Lead
Time
“Treat them all the same by treating them differently.” This quote comes from The 7 Habits of Highly Effective People by Stephen Covey.
Ship spares procurement by segmented supply chain
BEFORE AFTER
NON STRATEGIC SPARES WERE PROCURED ON SPOT BUY BASIS
THESE ITEMS WERE PUT ON ANNUAL CONTRACT
LOW IMPACT LONG LEAD ITEMS WERE IGNORED
THESE WERE NOW REVIEWED ON MONTLY BASIS
HIGH IMPACT LOW LEAD TIME ITEMS WERE ALWAYS ON HOT LIST(80% OF THE TIME)
VENDOR MANAGED INVENTORY INSURED 100% COMPLIANCE
ASSET OPERATIONAL DEFICIENCIES DUE TO SHORTAGE OF HIGH IMPACT ,HIGH LEAD TIME ITEMS
AFTER INTRODUCING RAPID RESPONSE INVENTORY MANAGEMENT MODEL ,ASSET UPTIME CAME CLOSE TO 99% AGAINST 75% IN THE PREVIOUS SET UP
Information silo’s in the older system: Poor visibility in the supply chain
Ship StaffTech Dep't: Ch Engineers
Supply Chain & Procurement Dep’t
Ship safety dep’t
Shows distorted flow of information;use of excel sheets or verbal requests
Information Flow in the Rapid Response inventory management modelspares procurement by segmented supply chain
Ship StaffTech Dep't: Ch Engineers
Supply Chain & Procurement Dep’t
Ship safety dep’t
Shows designed flow of information
Supply Chain Technologies used in RRIMD
Close loop flow of information for enhanced supply chain visibility
SAP MM
VIMS
CLOUD
CONCEPT:VIRTUAL STORE
SO HOW WAS IT ALL CONFIGURED ?
Close loop flow of information for enhanced supply chain visibility
MARINE ENGINEERS
SHIP(CUSTOMER)
SUPPLY CHAIN AND
PROCUREMENT DEPTT
SUPPLIERS ON ANNUAL CONTRACTS
SUPPLIERS ON VMI ERP
VIMSCloud
MONTHLY REVIEW
RRIMD
Virtual stores
BUSINESS RESULTS
Close loop flow of information for enhanced supply chain visibility
The procurement process became visible
After putting low impact items on contract the daily transaction s reduced by
50%
Putting high impact short lead items(lubricants) on vmi ensured complete visibility
in the supply chain
Material planning and on time deliveries, came up to 95% from earlier score of
70%
Avoiding spot buying helped us get better prices due to economies of scale
Suppliers were connected to cloud ,so that they were able track their payments
and also ensure on-time deliveries
BUSINESS RESULTS
Close loop flow of information for enhanced supply chain visibility
ERP, cloud and VIMS were completely integrated through web interface
The no of RFQ/RFI came down by 60%
VMI ensured a buffer and delayed supplies were completely eliminated
VMI helped suppliers plan their raw material procurement
Office got visibility of inventory on board ,eliminating sourcing of duplicate spares
IT PUT SIMLES ON THE FACE OF THE CUSTOMERS
Ship spares procurement by segmented supply chain
BEFORE AFTER
S0 Peel your oranges before you eat
This case study has been prepared from an live supply chain transformation project
Romesh Gupta CSCPFor comments you may write to me on romeshguptaCSCP@gmail.com
top related