I interviewed Bipul Kumar Singh who discussed Supply Chain Planning.
Can you first talk about what is supply chain planning and why is it important?
Basically, the supply chain is to manage to entire movement of the goods from the supplier to the end customer. And why planning is important is because over the period that the supply chain has evolved in many ways by [inaudible 00:00:46]. It is important because on this [inaudible 00:00:54] plan, you have a better planning [inaudible 00:00:57] forecast for your forecasting. If you don't do the proper forecasting method, you won't be able to mastermind the requirement.
If you go back in the history, if you go backward in time, once upon a time, the customer was happy with a black hat, whereas today, the customer is far more demanding, less loyal, and less patient as well. So they don't want to wait. Considering now all these things, planning is extremely important for any supply chain. And that becomes one of the key areas because the one thing which is the challenging one is the reduced life cycle. Nowadays customers want to buy frequently, not like when they were buying the new product when the older one was unusable.
So this opportunity makes the supply chain challenging, and that is why this planning has now become very, very important.
Can you talk about how supply chain planning is done effectively?
What we have been doing in this company is that we have been collecting the data from the point of sale, and then we are analyzing those data, and then we're doing the inventory management using the various methods of forecasting. By doing that, we are mitigating the risk of the bullwhip effect — what happens when the individual that is the members of the supply that do the forecasting on their own, they always give us inflated data. So to avoid that, we have started collecting the data from the point of sale. And that's helped us immensely in eliminating the extra inventory. And that also helps us to minimize the inventory, which makes us [inaudible 00:03:56]. So we are lean as well as [inaudible 00:03:59].
You talk about the method we have. We have products which has [inaudible 00:04:08] products which [inaudible 00:04:12] there are some products with seasonality. So we use all those methods now [inaudible 00:04:17] exponential [inaudible 00:04:19]. So those [inaudible 00:04:25] we use when doing the forecasting.
Do you have any final recommendations about supply chain planning?
A recommendation would be to have a better system in place to have the visibility, clarity about [inaudible 00:04:48]. So that is one thing all of the supply chain wants to be there in the system. So to have a proper tracking with the [inaudible 00:05:04] which has been used properly [inaudible 00:05:07]. There is a lack of proper training in all that. So that's a use requirement of the training and all that [inaudible 00:05:29]. So the [inaudible 00:05:32] recommendation.
Can you provide us with a brief background about yourself?
I have done my post [inaudible 00:05:46] supply chain. I started working with a custom clearing and freight forwarding company. And then I was moved on to work on our [inaudible 00:06:01], which was a [inaudible 00:06:03] class manufacturing plant. And here I was basically in this company, I was the [inaudible 00:06:12] redesigning the process and the supply chain at work. So basically I'm into what I have done. It's basically the inventory planning network we're designing, the forecasting, demand planning. So this is what I do. And this is a brief summary about my experience and the various roles which I have had in the past.
About Bipul Kumar Singh
Bipul Kumar Singh
Supply Chain Manager