A SUMMER INTERNSHIP PROJECT REPORT

ON

TATA TELESERVICES LTd

(TOPIC-SUPPLY CHAIN MANAGEMENT)

DEPOSITED TO:

BAROTOTA, NEAR KHURDA INDUSTRIAL AREA. BHUBANESWAR

DEPOSITED BY:

SAROJ KUMAR MUDULI

PGDM,ROLL NO-251

Session (09-11)

TABLE OF CONTENTS
1 2 3 4 5 6

Declaration Acknowledgement Executive summary Literature(Theoritical analysis of topic) Process of warehouse Company Profile

2 3 4 5-29 30-35 35 0nwords

7 8 9 10

Board of directors ATA Business excellence model Operate sustainability Warehouse Management

37- 40 43-45 45-46 47 onwords

11 12 13 14 15 16

Objectives of warehouse/scope Related documents Process design parameters Business rules Detailed operation procedure Grossory of terms

48-49 49 49-52 53 54-61 62

17

Process overview

62-70

DECLARATION

This is the report of the project work entitled SUPPLY CHAIN MANAGEMENT undertaken by me during the two month OJT(SIP) at TATA TELESERVICES LTD, Bhubaneswar. I hereby declare that project report is being submitted by me to AFFINITY BUSINESS SCHOOL for the partial fulfillment of the degree of POSTGRADUATE DIPLOMA IN BUSINESS MANAGEMENT of first year. A copy of this project has been submitted to the organization where the project was developed that is TATA TELESERVICES LTD . This project is not submitted to any other organization or university or College and is the Outcome of my work.

Date:-

Saroj kumar muduli Signature:

ACKNOWLEDGEMENT
I am thankful to TATA TELESERVICES LTD. giving me an opportunity to conduct SUMMER PROJECT in their esteemed organization. I am honored to take this opportunity to sincerely thank Mr. Lingaraj subudhi, supply chain head, TATA TELESERVICES LTD, Bhubaneswar, who allowed me to work under such an esteem organization. I am also thankful to Mrs.Puspanjali kar for expressing his faith & confidence in me by assigning this project work to me. I am also thankful to Mr Manoj kar, Chairman Affinity B-school & Mr.P.K tripathy(programme director at ABS) whose continued and invaluable guidance can never be forgotten by me with out whom, this project could not have got present shape. I could also not forget the expert guidance and encouragement that he has shown to me in spite of his busy schedule. I respect the kindliness and gratitude they have shown among all other student. I also thank the other faculty members and my internal guide at AFFINITY BUSINESS SCHOOL and all the members of TATA TELESERVICES LTD, Bhubaneswar, for providing me the necessary information and relevant data. Lastly I thank all the EMPLOYEES/WORKERS at warehouse of TTSL whose responses played a major role in completion of this research work and without whos held I could not have completed the project.

Saroj kumar muduli AFFINITY, Bhubaneswar

EXECUTIVE SUMMERY
The importance of any academic course would gain advantage and acceptance of the true form, only through practical experience. Hence it is quite necessary to put theories in to talk. This is made possible with the summer training at any of the companies under the guidance of a competent person.

All organization face changes in their environment with resultant changes in their markets and in this ability to satisfy their market. Each organization is faced with new marketing problems and opportunities in their existing and potential market. Marketing decision make cope with these challenges in a variety of ways. The marketers being required to forecast the risk and uncertainty in their own way, supported by market research.

Man on earth that can entirely eliminate uncertainties knows no method but scientific method can minimize the elements of uncertainties that can result from lack of information without orientation. Market research is a process of collecting information about who, what, when, where, why, and how of actual and potential consumers in a particular market. The main purpose of market research is the ability to continually foresee both in the long and short term.

This report is the outcome of the summer training report at TATA TELESERVICES LTD at BHUBANESWAR. This training is a part of the curriculum of PGDM programee at AFFINITY BUSINESS SCHOOL.

Literature
Theorytical analysis on topic

Supply chain management (SCM):-It

is the management of a network of interconnected businesses involved in the ultimate provision of product and service packages required by end customers (Harland, 1996).[1] Supply Chain Management spans all movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption (supply chain). Another definition is provided by the APICS Dictionary when it defines SCM as the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand, and measuring performance globally."

Contents:

1 Idea 2 Supply chain management problems 3 Activities/functions o 3.1 Strategic o 3.2 Tactical o 3.3 Operational 4 Supply chain management 5 Developments in Supply Chain Management 6 Supply chain business process integration

7 Theories of supply chain management 8 Supply chain sustainability 9 Components of supply chain management integration 10 Global supply chain management

Idea:More common and accepted definitions of Supply Chain Management are:

Supply Chain Management is the systemic, strategic coordination of the traditional business functions and the tactics across these business functions within a particular company and across businesses within the supply chain, for the purposes of improving the long-term performance of the individual companies and the supply chain as a whole (Mentzer et al, 2001).[2] Global Supply Chain Forum - Supply Chain Management is the integration of key business processes across the supply chain for the purpose of adding value for customers and stakeholders (Lambert, 2008)[3]. According to the Council of Supply Chain Management Professionals (CSCMP), Supply chain management encompasses the planning and management of all activities involved in sourcing, procurement, conversion, and logistics management. It also includes the crucial components of coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party

service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperate to provide product and service offerings has been called the Extended Enterprise. A supply chain, as opposed to supply chain management, is a set of organizations directly linked by one or more of the upstream and downstream flows of products, services, finances, and information from a source to a customer. Managing a supply chain is 'supply chain management' (Mentzer et al., 2001).[4] Supply chain management software includes tools or modules used to execute supply chain transactions, manage supplier relationships and control associated business processes. Supply chain event management (abbreviated as SCEM) is a consideration of all possible events and factors that can disrupt a supply chain. With SCEM possible scenarios can be created and solutions devised.

Supply chain management problems:Supply chain management must address the following problems:

Distribution and network distribution customers. Distribution (centralized,

Network Configuration: number, location missions of suppliers, production facilities, centers, warehouses, cross-docks and Strategy: questions of operating control decentralized or shared); delivery scheme,

e.g., direct shipment, pool point shipping, cross docking, DSD (direct store delivery), closed loop shipping; mode of transportation, e.g., motor carrier, including truckload, LTL, parcel; railroad; intermodal transport, including TOFC (trailer on flatcar) and COFC (container on flatcar); ocean freight; airfreight; replenishment strategy (e.g., pull, push or hybrid); and transportation control (e.g., owneroperated, private carrier, common carrier, contract carrier, or 3PL). Trade-Offs in Logistical Activities: The above activities must be well coordinated in order to achieve the lowest total logistics cost. Trade-offs may increase the total cost if only one of the activities is optimized. For example, full truckload (FTL) rates are more economical on a cost per pallet basis than less than truckload (LTL) shipments. If, however, a full truckload of a product is ordered to reduce transportation costs, there will be an increase in inventory holding costs which may increase total logistics costs. It is therefore imperative to take a systems approach when planning logistical activities. These trade-offs are key to developing the most efficient and effective Logistics and SCM strategy. Information: Integration of processes through the supply chain to share valuable information, including demand signals, forecasts, inventory, transportation, potential collaboration, etc. Inventory Management: Quantity and location of inventory, including raw materials, work-in-progress (WIP) and finished goods.

Cash-Flow: Arranging the payment terms and methodologies for exchanging funds across entities within the supply chain.

Supply chain execution means managing and coordinating the movement of materials, information and funds across the supply chain. The flow is bi-directional.

Activities/functions:Supply chain management is a cross-function approach including managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end-consumer. As organizations strive to focus on core competencies and becoming more flexible, they reduce their ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other entities that can perform the activities better or more cost effectively. The effect is to increase the number of organizations involved in satisfying customer demand, while reducing management control of daily logistics operations. Less control and more supply chain partners led to the creation of supply chain management concepts. The purpose of supply chain management is to improve trust and collaboration among supply chain partners, thus improving inventory visibility and the velocity of inventory movement. Several models have been proposed for understanding the activities required to manage material movements across organizational and functional boundaries. SCOR is a supply chain management model promoted by the Supply Chain

Council. Another model is the SCM Model proposed by the Global Supply Chain Forum (GSCF). Supply chain activities can be grouped into strategic, tactical, and operational levels . The CSCMP has adopted The American Productivity & Quality Center (APQC) Process Classification FrameworkSM a highlevel, industry-neutral enterprise process model that allows organizations to see their business processes from a crossindustry viewpoint[5].

Strategic:

Strategic network optimization, including the number, location, and size of warehousing, distribution centers, and facilities. Strategic partnerships with suppliers, distributors, and customers, creating communication channels for critical information and operational improvements such as cross docking, direct shipping, and third-party logistics. Product life cycle management, so that new and existing products can be optimally integrated into the supply chain and capacity management activities. Information technology chain operations. Where-to-make and what-to-make-or-buy decisions. Aligning overall organizational strategy with supply strategy. It is for long term and needs resource comittement.

Tactical:

Sourcing contracts and other purchasing decisions.

Production decisions, including contracting, scheduling, and planning process definition. Inventory decisions, including quantity, location, and quality of inventory. Transportation strategy, including frequency, routes, and contracting. Benchmarking of all operations against competitors and implementation of best practices throughout the enterprise. Milestone payments. Focus on customer demand.

Operational:

Daily production and distribution planning, including all nodes in the supply chain. Production scheduling for each manufacturing facility in the supply chain (minute by minute). Demand planning and forecasting, coordinating the demand forecast of all customers and sharing the forecast with all suppliers. Sourcing planning, including current inventory and forecast demand, in collaboration with all suppliers. Inbound operations, including transportation from suppliers and receiving inventory. Production operations, including the consumption of materials and flow of finished goods. Outbound operations, including all fulfillment activities, warehousing and transportation to customers. Order promising, accounting for all constraints in the supply chain, including all suppliers, manufacturing facilities, distribution centers, and other customers.

Supply chain management:Organizations increasingly find that they must rely on effective supply chains, or networks, to compete in the global market and networked economy.[6] New management paradigms, this concept of business relationships extends beyond traditional enterprise boundaries and seeks to organize entire business processes throughout a value chain of multiple companies. During the past decades, globalization, outsourcing and information technology have enabled many organizations, such as Dell and Hewlett Packard, to successfully operate solid collaborative supply networks in which each specialized business partner focuses on only a few key strategic activities . This inter-organizational supply network can be acknowledged as a new form of organization. However, with the complicated interactions among the players, the network structure fits neither "market" nor "hierarchy" categories (Powell, 1990). It is not clear what kind of performance impacts different supply network structures could have on firms, and little is known about the coordination conditions and trade-offs that may exist among the players. From a systems perspective, a complex network structure can be decomposed into individual component firms (Zhang and Dilts, 2004). Traditionally, companies in a supply network concentrate on the inputs and outputs of the processes, with little concern for the internal management working of other individual players. Therefore, the choice of an internal management control structure is known to impact local firm performance (Mintzberg, 1979).

In the 21st century, changes in the business environment have contributed to the development of supply chain networks. First, as an outcome of globalization and the proliferation of multinational companies, joint ventures, strategic alliances and business partnerships, significant success factors were identified, complementing the earlier "Just-In-Time", "Lean Manufacturing" and "Agile Manufacturing" practices.[7] Second, technological changes, particularly the dramatic fall in information communication costs, which are a significant component of transaction costs, have led to changes in coordination among the members of the supply chain network (Coase, 1998). Many researchers have recognized these kinds of supply network structures as a new organization form, using terms such as "Keiretsu", "Extended Enterprise", "Virtual Corporation", "Global Production Network", and "Next Generation Manufacturing System".[8] In general, such a structure can be defined as "a group of semi-independent organizations, each with their capabilities, which collaborate in ever-changing constellations to serve one or more markets in order to achieve some business goal specific to that collaboration" (Akkermans, 2001). The security management system for supply chains is described in ISO/IEC 28000 and ISO/IEC 28001 and related standards published jointly by ISO and IEC.

Developments in Supply Chain Management

Six major movements can be observed in the evolution of supply chain management studies: Creation, Integration, and Globalization. 1. Creation Era The term supply chain management was first coined by a U.S. industry consultant in the early 1980s. However, the concept of a supply chain in management was of great importance long before, in the early 20th century, especially with the creation of the assembly line. The characteristics of this era of supply chain management include the need for large-scale changes, reengineering, downsizing driven by cost reduction programs, and widespread attention to the Japanese practice of management. 2. Integration Era This era of supply chain management studies was highlighted with the development of Electronic Data Interchange (EDI) systems in the 1960s and developed through the 1990s by the introduction of Enterprise Resource Planning (ERP) systems. This era has continued to develop into the 21st century with the expansion of internet-based collaborative systems. This era of supply chain evolution is characterized by both increasing valueadding and cost reductions through integration. 3. Globalization Era The third movement of supply chain management development, the globalization era, can be characterized by the attention given to global systems of supplier relationships and the expansion of supply chains over national boundaries and into other continents. Although the use of global sources in the supply

chain of organizations can be traced back several decades (e.g., in the oil industry), it was not until the late 1980s that a considerable number of organizations started to integrate global sources into their core business. This era is characterized by the globalization of supply chain management in organizations with the goal of increasing their competitive advantage, value-adding, and reducing costs through global sourcing. 4. Specialization EraPhase Manufacturing and Distribution One: Outsourced

In the 1990s industries began to focus on core competencies and adopted a specialization model. Companies abandoned vertical integration, sold off non-core operations, and outsourced those functions to other companies. This changed management requirements by extending the supply chain well beyond company walls and distributing management across specialized supply chain partnerships. This transition also re-focused the fundamental perspectives of each respective organization. OEMs became brand owners that needed deep visibility into their supply base. They had to control the entire supply chain from above instead of from within. Contract manufacturers had to manage bills of material with different part numbering schemes from multiple OEMs and support customer requests for work -in-process visibility and vendor-managed inventory (VMI). The specialization model creates manufacturing and distribution networks composed of multiple, individual supply chains specific to products, suppliers, and customers who work together to design, manufacture, distribute, market, sell, and service a

product. The set of partners may change according to a given market, region, or channel, resulting in a proliferation of trading partner environments, each with its own unique characteristics and demands. 5. Specialization EraPhase Management as a Service Two: Supply Chain

Specialization within the supply chain began in the 1980s with the inception of transportation brokerages, warehouse management, and non-asset-based carriers and has matured beyond transportation and logistics into aspects of supply planning, collaboration, execution and performance management. At any given moment, market forces could demand changes from suppliers, logistics providers, locations and customers, and from any number of these specialized participants as components of supply chain networks. This variability has significant effects on the supply chain infrastructure, from the foundation layers of establishing and managing the electronic communication between the trading partners to more complex requirements including the configuration of the processes and work flows that are essential to the management of the network itself. Supply chain specialization enables companies to improve their overall competencies in the same way that outsourced manufacturing and distribution has done; it allows them to focus on their core competencies and assemble networks of specific, best-in-class partners to contribute to the overall value chain itself, thereby increasing overall performance and efficiency.

The ability to quickly obtain and deploy this domain-specific supply chain expertise without developing and maintaining an entirely unique and complex competency in house is the leading reason why supply chain specialization is gaining popularity. Outsourced technology hosting for supply chain solutions debuted in the late 1990s and has taken root primarily in transportation and collaboration categories. This has progressed from the Application Service Provider (ASP) model from approximately 1998 through 2003 to the On-Demand model from approximately 2003-2006 to the Software as a Service (SaaS) model currently in focus today. 6. Supply Chain Management 2.0 (SCM 2.0) Building on globalization and specialization, the term SCM 2.0 has been coined to describe both the changes within the supply chain itself as well as the evolution of the processes, methods and tools that manage it in this new "era". Web 2.0 is defined as a trend in the use of the World Wide Web that is meant to increase creativity, information sharing, and collaboration among users. At its core, the common attribute that Web 2.0 brings is to help navigate the vast amount of information available on the Web in order to find what is being sought. It is the notion of a usable pathway. SCM 2.0 follows this notion into supply chain operations. It is the pathway to SCM results, a combination of the processes, methodologies, tools and delivery options to guide companies to their results quickly as the complexity and speed of the supply chain increase due to the effects of global competition, rapid price fluctuations,

surging oil prices, short product life cycles, expanded specialization, near-/far- and off-shoring, and talent scarcity. SCM 2.0 leverages proven solutions designed to rapidly deliver results with the agility to quickly manage future change for continuous flexibility, value and success. This is delivered through competency networks composed of best-of-breed supply chain domain expertise to understand which elements, both operationally and organizationally, are the critical few that deliver the results as well as through intimate understanding of how to manage these elements to achieve desired results. Finally, the solutions are delivered in a variety of options, such as no-touch via business process outsourcing, mid-touch via managed services and software as a service (SaaS), or high touch in the traditional software deployment model.

Supply chain business process integration:Successful SCM requires a change from managing individual functions to integrating activities into key supply chain processes. An example scenario: the purchasing department places orders as requirements become known. The marketing department, responding to customer demand, communicates with several distributors and retailers as it attempts to determine ways to satisfy this demand. Information shared between supply chain partners can only be fully leveraged through process integration. Supply chain business process integration involves collaborative work between buyers and suppliers, joint product development, common systems and shared information. According to Lambert and Cooper (2000), operating an integrated supply chain

requires a continuous information flow. However, in many companies, management has reached the conclusion that optimizing the product flows cannot be accomplished without implementing a process approach to the business. The key supply chain processes stated by Lambert (2004) [9] are:

Customer relationship management Customer service management Demand management Order fulfillment Manufacturing flow management Supplier relationship management Product development and commercialization Returns management

Much has been written about demand management. Best-inClass companies have similar characteristics, which include the following: a) Internal and external collaboration b) Lead time reduction initiatives c) Tighter feedback from customer and market demand d) Customer level forecasting One could suggest other key critical supply business processes which combine these processes stated by Lambert such as: a. Customer service management b. Procurement c. Product development and commercialization d. Manufacturing flow management/support e. Physical distribution f. Outsourcing/partnerships g. Performance measurement

a) Customer service management process Customer Relationship Management concerns the relationship between the organization and its customers. Customer service is the source of customer information. It also provides the customer with real-time information on scheduling and product availability through interfaces with the company's production and distribution operations. Successful organizations use the following steps to build customer relationships:

determine mutually satisfying goals for organization and customers establish and maintain customer rapport produce positive feelings in the organization and the customers

b) Procurement process Strategic plans are drawn up with suppliers to support the manufacturing flow management process and the development of new products. In firms where operations extend globally, sourcing should be managed on a global basis. The desired outcome is a win-win relationship where both parties benefit, and a reduction in time required for the design cycle and product development. Also, the purchasing function develops rapid communication systems, such as electronic data interchange (EDI) and Internet linkage to convey possible requirements more rapidly. Activities related to obtaining products and materials from outside suppliers involve resource planning, supply sourcing, negotiation, order placement, inbound transportation, storage, handling and quality assurance, many of which include the responsibility to coordinate with suppliers on

matters of scheduling, supply continuity, hedging, and research into new sources or programs. c) Product development and commercialization Here, customers and suppliers must be integrated into the product development process in order to reduce time to market. As product life cycles shorten, the appropriate products must be developed and successfully launched with ever shorter timeschedules to remain competitive. According to Lambert and Cooper (2000), managers of the product development and commercialization process must: 1. coordinate with customer relationship management to identify customer-articulated needs; 2. select materials and suppliers in conjunction with procurement, and 3. develop production technology in manufacturing flow to manufacture and integrate into the best supply chain flow for the product/market combination. d) Manufacturing flow management process The manufacturing process produces and supplies products to the distribution channels based on past forecasts. Manufacturing processes must be flexible to respond to market changes and must accommodate mass customization. Orders are processes operating on a just-in-time (JIT) basis in minimum lot sizes. Also, changes in the manufacturing flow process lead to shorter cycle times, meaning improved responsiveness and efficiency in meeting customer demand. Activities related to planning, scheduling and supporting manufacturing operations, such as

work-in-process storage, handling, transportation, and time phasing of components, inventory at manufacturing sites and maximum flexibility in the coordination of geographic and final assemblies postponement of physical distribution operations. e) Physical distribution This concerns movement of a finished product/service to customers. In physical distribution, the customer is the final destination of a marketing channel, and the availability of the product/service is a vital part of each channel participant's marketing effort. It is also through the physical distribution process that the time and space of customer service become an integral part of marketing, thus it links a marketing channel with its customers (e.g., links manufacturers, wholesalers, retailers). f) Outsourcing/partnerships This is not just outsourcing the procurement of materials and components, but also outsourcing of services that traditionally have been provided in-house. The logic of this trend is that the company will increasingly focus on those activities in the value chain where it has a distinctive advantage, and outsource everything else. This movement has been particularly evident in logistics where the provision of transport, warehousing and inventory control is increasingly subcontracted to specialists or logistics partners. Also, managing and controlling this network of partners and suppliers requires a blend of both central and local involvement. Hence, strategic decisions need to be taken centrally, with the monitoring and control of supplier performance and day-to-day liaison with logistics partners being best managed at a local level.

g) Performance measurement Experts found a strong relationship from the largest arcs of supplier and customer integration to market share and profitability. Taking advantage of supplier capabilities and emphasizing a long-term supply chain perspective in customer relationships can both be correlated with firm performance. As logistics competency becomes a more critical factor in creating and maintaining competitive advantage, logistics measurement becomes increasingly important because the difference between profitable and unprofitable operations becomes more narrow. A.T. Kearney Consultants (1985) noted that firms engaging in comprehensive performance measurement realized improvements in overall productivity. According to experts, internal measures are generally collected and analyzed by the firm including 1. Cost 2. Customer Service 3. Productivity measures 4. Asset measurement, and 5. Quality. External performance measurement is examined through customer perception measures and "best practice" benchmarking, and includes 1) customer perception measurement, and 2) best practice benchmarking. Components of Supply Chain Management Standardization 2. Postponement 3. Customization are 1.

Theories of supply chain management:Currently there is a gap in the literature available on supply chain management studies: there is no theoretical support for explaining the existence and the boundaries of supply chain management. A few authors such as Halldorsson, et al. (2003), Ketchen and Hult (2006) and Lavassani, et al. (2008b) have tried to provide theoretical foundations for different areas related to supply chain by employing organizational theories. These theories include:

Resource-Based View (RBV) Transaction Cost Analysis (TCA) Knowledge-Based View (KBV) Strategic Choice Theory (SCT) Agency Theory (AT) Institutional theory (InT) Systems Theory (ST) Network Perspective (NP)

Supply chain sustainability:Supply chain sustainability is a business issue affecting an organisations supply chain or logistics network and is frequently quantified by comparison with SECH ratings. SECH ratings are defined as social, ethical, cultural and health footprints. Consumers have become more aware of the environmental impact of their purchases and companies SECH ratings and, along with non-governmental organisations ([NGO]s), are setting the agenda for transitions to organicallygrown foods, anti-sweatshop labour codes and locally-produced

goods that support independent and small businesses. Because supply chains frequently account for over 75% of a companys carbon footprint[10] many organisations are exploring how they can reduce this and thus improve their SECH rating.

Components of supply chain management integration:The management components of SCM The SCM components are the third element of the four-square circulation framework. The level of integration and management of a business process link is a function of the number and level, ranging from low to high, of components added to the link (Ellram and Cooper, 1990; Houlihan, 1985). Consequently, adding more management components or increasing the level of each component can increase the level of integration of the business process link. The literature on business process reengineering,[11] buyer-supplier relationships,[12] and SCM[13] suggests various possible components that must receive managerial attention when managing supply relationships. Lambert and Cooper (2000) identified the following components:

Planning and control Work structure Organization structure Product flow facility structure Information flow facility structure Management methods Power and leadership structure

Risk and reward structure Culture and attitude

However, a more careful examination of the existing literature[14] leads to a more comprehensive understanding of what should be the key critical supply chain components, the "branches" of the previous identified supply chain business processes, that is, what kind of relationship the components may have that are related to suppliers and customers. Bowersox and Closs states that the emphasis on cooperation represents the synergism leading to the highest level of joint achievement (Bowersox and Closs, 1996). A primary level channel participant is a business that is willing to participate in the inventory ownership responsibility or assume other aspects of financial risk, thus including primary level components (Bowersox and Closs, 1996). A secondary level participant (specialized) is a business that participates in channel relationships by performing essential services for primary participants, including secondary level components, which support primary participants. Third level channel participants and components that support the primary level channel participants and are the fundamental branches of the secondary level components may also be included. Consequently, Lambert and Cooper's framework of supply chain components does not lead to any conclusion about what are the primary or secondary (specialized) level supply chain components (see Bowersox and Closs, 1996, p. 93). That is, what supply chain components should be viewed as primary or secondary, how should these components be structured in order to have a more comprehensive supply chain structure, and how

to examine the supply chain as an integrative one (See above sections 2.1 and 3.1). Reverse Supply Chain Reverse logistics is the process of managing the return of goods. Reverse logistics is also referred to as "Aftermarket Customer Services". In other words, any time money is taken from a company's warranty reserve or service logistics budget one can speak of a reverse logistics operation.

Global supply chain management:Global supply chains pose challenges regarding both quantity and value:
Supply and Value Chain Trends

Globalization Increased cross border sourcing Collaboration for parts of value chain with low-cost providers Shared service centers for logistical and administrative functions Increasingly global operations, which require increasingly global coordination and planning to achieve global optimums Complex problems involve also midsized companies to an increasing degree,

These trends have many benefits for manufacturers because they make possible larger lot sizes, lower taxes, and better environments (culture, infrastructure, special tax zones, sophisticated OEM) for their products. Meanwhile, on top of the problems recognized in supply chain management, there will be many more challenges when the scope of supply chains is global. This is because with a supply chain of a larger scope, the lead time is much longer. Furthermore, there are more issues

involved such as multi-currencies, different policies and different laws. The consequent problems include:1. different currencies and valuations in different countries; 2. different tax laws (Tax Efficient Supply Chain Management); 3. different trading protocols; 4. lack of transparency of cost and profit.
PROCESS OF WAREHOUSE:-

Warehousing is at the core of our supply chain management services. Our warehousing solutions feature over 176 strategically located warehouses, covering over 3.5 million square feet of area nationwide, making us one of the nation's largest warehousing service providers. Our warehouses have top-class Material Handling Equipments (MHE) such as forklifts, electrical pallet trucks, systematic racking system, hydraulic docking systems etc. coupled with well trained professionals across all levels. Depending on individual customer specifications, we operate at all levels - Shared, Contract, Open Yard and Palletized & Racked. DIESL uses a world-class Warehouse Management System (WMS) which can be tailored to suit all aspects of specific customer requirements whilst simultaneously allowing for nationwide flexibility in terms of warehousing locations. Our WMS's flexibility allows modifications to suit the needs of individual customers, including product data, inventory management, order management, and EDI capabilities. It is fully web enabled over 10MBPS IPLC, with close integration to SAP. Our main stay at DIESL is to provide quality service to our clients. We dwell in the quality conscious culture. Our processes are audited for the quality benchmarks we set for business operations. This leads to

identifying areas of improvement and training our personnel to excel in the areas identified"Excellence is not an exception, it is a prevailing attitude." Our firm belief to achieve excellence is through regular improvements. We constantly channelize our efforts to locate and identify areas of improvement through quality audits. Such audits serve to identify and assess the performance of warehouses and also identify training needs. The Quality Program run by the Business Excellence Team at DIESL is used to measure the warehouse performance and helps in continual improvement thus distinguishing DIESL from other logistics service providers. This program, Project Caliper covers the aspects of good warehousing techniques. The results have impacted our performance to such an extent that we have copyrighted this tool. Activities under

Business Excellence::Process / Policy Design & Re-engineering

Identify gaps in Process / Policy

Impart Process Trainings

Internal Audit

Conduct customer and vendor surveys

Quality Certification (ISO) of warehouses

Running Project Caliper

Solutions to fill gaps in performance

Our Services: Quality Management at Facilities:Infrastructure Roll out Safety & Security Measurement Maintenance & House Keeping Training Process Restructuring & Automation Delivery Level Consistency & Up gradation Inventory Management Overall Warehouse Solutions (Cost Cutting) Bench Marking Distribution network designing Warehouse Layout designing & planning Warehouse Automation Inventory Management

Customized Quality Audits

Project Caliper runs on a pre-defined set of parameters to ensure smooth running of operations. It is in the form of questionnaires which are custom made for various sectors DIESL caters to. The questionnaires have pre-defined numeric parameters which forms the scoring system

The questionnaire is completely objective and is divided into three modules:Warehouse Foundations The Warehouse Set Up Warehouse Maintenance & Security Warehousing Practices The Access Control infrastructure

Warehouse Operation:Receipts Issues

Warehouse Essentials:Cycle Count / Reconciliation & Reports Records Maintenance Statutory Compliance Service Provider & Staff Customer Feedback & Service Provider Feedback

COMPANY PROFILE:TATA TELESERVICES LTD

Tata Teleservices Limited spearheads the Tata Group's presence in the telecom sector. The Tata Group had revenues of around US $75 billion in financial year 2008-09, and includes over 90 companies, over 350,000 employees worldwide and more than 3.5 million shareholders. Incorporated in 1996, Tata Teleservices Limited is the pioneer of the CDMA 1x technology platform in India. It has embarked on a growth path since the acquisition of Hughes Tele.com (India) Ltd [renamed Tata Teleservices (Maharashtra) Limited] by the Tata Group in 2002. It launched mobile operations in January 2005 under the brand Tata Indicom and today enjoys a pan-India presence through existing operations in all of India's 22 telecom Circles. The company is also the market leader in the fixed wireless telephony market with its brand Walky. The company has recently introduced the brand Photon to provide a variety of options for wireless mobile broadband access. The company's network has been rated as the 'Least Congested' in India for last five consecutive quarters by the Telecom Regulatory Authority of India through independent surveys. Tata Teleservices Limited now also has a presence in the GSM space, through its joint venture with NTT DOCOMO of Japan, and offers differentiated products and services under the TATA DOCOMO brand name. TATA DOCOMO arises out of the Tata Group's strategic alliance with Japanese telecom major NTT DOCOMO in November 2008. TATA DOCOMO has received a pan-India license to operate GSM telecom services-and has also been allotted spectrum in 18 telecom Circles. The company has rolled out GSM services in 14 of India's 22 telecom Circles in a

quick span of under six months. The company plans to launch pan-India operations by the end of FY 2009-10. TATA DOCOMO marks a significant milestone in the Indian telecom landscape, and has already redefined the very face of telecoms in India, being the first to pioneer the per-second tariff option-part of its 'Pay for What You Use' pricing paradigm. Tokyobased NTT DOCOMO is one of the world's leading mobile operators-in the Japanese market, the company is the clear market leader, used by over 50 per cent of the country's mobile phone users. Today, Tata Teleservices Limited, along with Tata Teleservices (Maharashtra) Limited, serves over 58 million customers in more than 410,000 towns and villages across the country, with a bouquet of telephony services encompassing mobile services, wireless desktop phones, public booth telephony, wireline services and enterprise solutions. In December 2008, Tata Teleservices Limited announced a unique reverse equity swap strategic agreement between its telecom tower subsidiary, Wireless TT Info-Services Limited, and Quippo Telecom Infrastructure Limited-with the combined entity kicking off operations in early 2009 with 18,000 towers, thereby becoming the largest independent entity in this space-and with the highest tenancy ratios in the industry. The WTTIL-Quippo combine is targeting over 50,000 towers by the end of FY 201011.

Board of Directors:-

Mr. K. A. Chaukar Mr. Ratan N. Tata : Managing Designation : ChairmanDesignation Company : TataDirector Company : Tata Industries Teleservices Ltd. Ltd.

Mr. Anil Kumar Mr. I. Hussain Sardana Designation : ManagingDesignation: Managing Director Director Company : TataCompany :Tata Sons Ltd. Teleservices Limited

Mr. N. S.Mr. N. Srinath Ramachandran Designation : CEO & MD Designation : Director,Company : Tata Company : TataCommunications Ltd. Teleservices Ltd.

Mr Toshinari Kunieda Mr. Anuj Maheshwari Designation : Senior Vice Designation : Director President Company : Temasek Holdings Advisors Managing Director Global Division India Pvt Ltd.,Business ("THAIPL") Company : NTT Docomo, INC.

Mr. Kiyoshi Tokuhiro Designation : Senior ViceMr. Kazuto Tsubouchi President Designation : Executive Vice Managing Director ofPresident Network DepartmentChief Financial Officer Company : NTT Docomo,Company : NTT Docomo, INC. INC.

Partner Us:You can be part of the Tata Indicom family in more ways than one. The Tata name has stood for trust and reliability for over a century. At the Tata Group our purpose is to improve the quality of life of the communities we serve. We also believe in developing areas of national significance. Through Tata Indicom we invite you to be our partners in revolutionising telecom services in India. You can partner Tata Indicom in several ways:

Tata Indicom Franchisee/ Distributor

You can partner with Tata Indicom in several ways by becoming a Franchisee / Distributor for Tata Indicom Mobile, Landline connections and Post paid Internet service.

Tata Indicom Phone Booth Operator.

Pay Telephony Business Unit (PTBU) is a strategic business unit of Tata Teleservices Limited and is the only branded player in the payphone industry in the country. It provides its services under the brand name of Tata. We have redefined the Payphone business in the telecom industry. Our booths use Smart Card technology, which is developed by Schlumberger, the leaders in Smart Card Payphone technology. The Smart Cards have a smart chip with a pre-programmed calling value; this card is sold to the operator who in turn sells the calling minutes to the end-consumer. This makes us the first private operator in the country to introduce Smart Cards in Payphone Booths. Continuing with the pioneering spirit we have also been the first in India to introduce the Payphone Management System, calling cards for customers, smart cart (mobile booth) and patented booth designs 'Capsule' and 'Full cabin'. We serve the Payphone market through two business models - Regular and Institutional. The regular model targets small and medium enterprises (eg. kirana stores, bakeries etc). In the regular model the payphone under the brand name Tata Indicom Public Phone Booth, is sold to the operator. The operator is paid commission based on certain revenue slabs depending on the package. There are four packages to choose from: Shreya, Shresta, Suvarna and Sampada. The institutional model targets public utility services and major establishments, government and corporate. The institutional business (IB) is aimed at giving a focused service to these establishments. The ownership of the payphone and the equipment remains with Tata Teleservices Limited. While the institution provides the space for the installation, the operations remain the responsibility of PTBU. In terms of visibility and branding Tata Indicom booths have redefined customer expectations. Our booths provide consumers with utmost privacy and comfort. The technology makes sure the equipment is tamper proof and ensures accurate billing.

We have launched a host of value added services for our customers. These include:
Conferencing,
This enables you to involve three people (including yourself) in one telephonic conversation. You can use the conferencing facility even when the Tata Indicom Public Phone Booth is closed, from the comfort of your home. The Tata Indicom Public Phone Booth conferencing has a userfriendly Auto Caller Unit (ACU) system with a voice prompt facility that provides complete privacy for conversations. An independent number and password ensure utmost security. At the end of the call the ACU announces the call charges and balance credit amount.

Fundoo Calling,
You can call to update yourself on your horoscope, cricket scores, tension easers (jokes and thought of the day), city information and news.

Inquiry,
Enquiry everywhere!

Customer service
This is a dedicated customer call centre, available for all queries, complaints and suggestions. These endeavours will herald a whole new world of telecommunications for the Indian market.

Careers at TTSL:To actualize the organizational vision of providing "Trusted Service to 100 million happy customers by 2011" acquiring and retaining high quality talent is the key to organization's success.

With this in mind TTSL offers high calibre people the opportunity to build a career in one of the world's most challenging and fastmoving business environments. To be a part of Team TTSL, one needs to be able to imbibe and live by TATA values and ethical standards and have the skills and motivation to play a major role in the TTSL's journey to success. At TTSL, we consider people to be our greatest asset. Professional, self-motivated individuals in every part of the organization are the key to achieving excellent customer service and continued growth of our organization. TTSL takes care of your career while you give your best to the organization through a well-structured career progression scheme. Besides providing immense opportunities to learn and develop, the organization takes care that you progress at a desired pace in your career. Career paths have been designed in order to help employees understand the requirements of upward mobility and growth in the organization. We at TTSL use competency evaluation and performance as a criteria for growth. Adequate cross-functional exposure and developmental opportunities are provided to all employees, which over a period of time enhance individual capability.

Register with Us - Coming Soon

ATA Business Excellence Model:Tata Business Excellence Model is a framework which helps companies to achieve excellence in their business performance. This is the chosen model by the TATA group to help in building globally competitive organizations across TATA Group companies. TBEM is based on the Malcolm Balridge National Quality Award Model of the U.S.

The Criteria have three important strengthening competitiveness:

roles

in

To help improve organizational performance practices, capabilities, and results To facilitate communication and sharing of best practices information among all organisations within TATA Group. To help in guiding organizational planning and opportunities for learning TBEM Criteria is designed to help organizations use an integrated approach to organisational performance management that results in
Delivery of ever-improving value to customers and stakeholders, contributing to organizational sustainability Improvement of overall organisational effectiveness and capabilities Organisational and personal learning

The Criteria are built on the following set of 11 Interrelated Core Values and Concepts:

The Core Values and Concepts are embodied in seven Categories, as follows:

Visionary Leadership Customer-driven Excellence Organisational and Personal Learning Valuing Employees and Partners Agility Focus on the Future Managing for Innovation Management by Fact Social Responsibility Focus on Results and Creating Value Systems Perspective

Leadership Strategic Planning Customer and Market Focus Measurement, Analysis, and Knowledge Management Work force Focus Process Management Business Results

The TBEM criteria are the operational details of the Core Values, applied to the different facets of a Business organisation. The 7 Criteria Categories are divided into 18 items and 32 Areas to Address The TBEM framework has the following characteristics Focus on Business results Non-prescriptive and Adaptable Maintains System Perspective Supports Goal based diagnosis TBEM instills a process centric approach in an organisation as a means to achieve the chosen Business Goals Tata Teleservices Limited as a part of the TATA Group has adopted the TATA Business Excellence model as an intricate part of its operation structure and uses it to grow from strength to strength, keeping Operational excellence and Business results in focus.

Corporate Sustainability:Working for the disadvantaged sections of the society is a way of life at the Tata Group. As Mr JRD Tata believed, society is an important stakeholder in the development of any organization. Social Responsibility has been central to the core values of the Tata group for over a century nowand Tata companies have not only been proactive on compliance with regulatory requirements, but have also had a farsighted vision in ensuring sustainability of business processes; restoration of biodiversity; and conserving wildlife where possible. Keeping in tune with the changing business, environmental and social scenarios, the Tata Group has adopted the term Corporate sustainability instead of Corporate Social Responsibility. Sustainable livelihoods are the demand of all social initiatives in the Group. Tata Teleservices Ltd is a responsible corporate citizen, and strives to give back to the community it operates in. The main objective behind the CS initiatives of TTSL is to use telecom to impact the life of the underprivileged sections of

society. The company endeavours to make a positive contribution to the community by supporting a wide range of socio-economic, educational and health initiatives. Keeping in mind the Tata Group guidelines and the objective mentioned above, we have identified and implemented many CS initiatives since 2006-end. Toward the end of 2008, with the then new TTSL Corporate Sustainability team having come on board, Tata Teleservices Limited began the process of joining the select few Tata Group companies that had put together their CS Big Picture. Under the guidance of the Tata Council for Community Initiatives, TTSL began work on this, and the Big Picture was put together in mid2008. Under the TTSL Big Picture (see image below), Education and Environment were identified as the two primary pillars for CS@TTSL, with all projects and activities stemming from there. That having been said, it was also decided that rather than put a stop to all the good work that many of TTSLs 20 Circle offices were doing (but which were not aligned to the Big Picture), the CS team would let these carry on for the cause of continuity in the target communities, slowly bringing them under the pillars identifiedthe process of Big Picture Alignment at TTSL, thus, began.

TATA TELESERVICES LTD.

Warehouse Management
Contents:1 GENERAL ................................................................................................................. 45 1.1 1.2 1.3 1.4 2 2.1 2.2 2.3 3 OBJECTIVE ............................................................................................................ 45 START / END POINTS .............................................................................................. 45 SCOPE .................................................................................................................. 45 RELATED DOCUMENTS ........................................................................................... 45 KEY PERFORMANCE INDICATORS ............................................................................ 46 SLAS.................................................................................................................... 49 BUSINESS RULES ................................................................................................... 49

PROCESS DESIGN PARAMETERS ........................................................................ 46

DETAILED OPERATING PROCEDURES ................................................................ 51 3.1 SELECTION OF A W AREHOUSE ................................................................................ 51 3.2 RECEIVING OF MATERIAL. ....................................................................................... 52 3.3 ISSUE OF MATERIAL ............................................................................................... 54 3.3.1 Stock Transfers ............................................................................................. 54 3.3.2 Sales ............................................................................................................. 57 3.4 WAREHOUSE SECURITY ......................................................................................... 57

4 5 6

GLOSSARY OF TERMS ........................................................................................... 59 PROCESS OVERVIEW (FLOW CHART) ................................................................. 60 RECORDS AND FORMATS ............................ ERROR! BOOKMARK NOT DEFINED. 6.1 6.2 RECORDS............................................................... ERROR! BOOKMARK NOT DEFINED. FORMATS ............................................................... ERROR! BOOKMARK NOT DEFINED.

Objective
The objectives of this process are to lay down guidelines with respect to the following: 1. 2. 3. 4. 5. Selection of a Warehouse Storage of material in the Warehouse ergonomically. Monitor material movements in the Warehouse ERP transactions Security Management

Start / End Points

Trigger: End: Selection of a Warehouse Despatch of material after issue.

Scope
This SOP will be applicable to all TTSL Warehouses directly managed by TTSL or indirectly managed using Third Party Logistics ( TPL ) or Fourth Party Logistics (FPL) Companies across all locations .

Related Documents
Sr Document Code No. SCM-PRO-SOP-001 1. Document Name Procurement of indigenous and imported goods and services

SCM-PRO-SOP-006 2. SCM-PRO-SOP-007 3. SCM-PRO-SOP-008 4. SCM-PRO-SOP-009 5. SCM-LOG-SOP-004 6. SCM-LOG-SOP-001 7. Import shipment tracking and custom clearance Scrapping of RCVs Printing and delivery of RCVs Procurement of activation cards and kitting Procurement of RUIM cards and kitting

Availability of Walky kits as per requirements across circles

PROCESS DESIGN PARAMETERS

Key Performance Indicators

S. Parameter No. 1. Floating RFQ Measure Target Responsible

No. of Days

Within 15 SCM Manager / working days Corporate SCM after evaluating need for new Warehouse Same day of Warehouse

2.

Issuing Discrepancy No. of Days

Note in case documents accompanied goods are incomplete or inappropriate. 3. Informing SCM for No. of days applying Insurance Claim in case of Transportation damage observed Verification of goods either by Sampling method or by 100 % inspection wherever applicable Preparing GRN

goods received

Executive

Same day of Warehouse goods received. Executive

4.

No. of 100 % of Warehouse consignments consignments or Executive or goods goods received

5.

No. of days

Same day ,if Warehouse materials Executive received before 1600 hrs, otherwise next working day Same day ,if SCM Manager received before 1600 hrs, otherwise next working day after receipt of MIR

6.

Verifying and No. of days forwarding MIR to Warehouse in case of material movement from Warehouse to Sites / Offices or Intra-Circle / Inter-Circle movement

7.

Issuing Circles

STO

from No. of days

Within Two Circle/Corporate working days SCM Manager after receiving instruction Same day ,if Warehouse request received Executive / SCM before 1700 hrs, Manager otherwise next working day 0 % of the times Warehouse Executive / SCM Manager

8.

Despatch of goods No. of days after receipt of MIR / RMS/ STO / Material Request

9.

Material issued No. of times without making entry in ERP

10. Receiving POD from No. of working With in 10 days Warehouse Transporter after Days after delivery of Executive. goods at Delivery of goods destination. 11. Forwarding copy to Manager 12. Preparing Invoice POD No. of working With 2 working Warehouse SCM days days after Executive receipt of POD Sales No. of working 1 hour hours Warehouse Executive

SLAs
S. No. Parameter Measure Target Responsible

1.

Finalizing proposals received No. and signing agreement for Days Warehouse or Warehouse services

of Within 15 days SCM after receipt of Finance Proposals

2.

Reconciliation based on Frequency Once in a month physical verification report submitted by FC and daily stock statement shared by SCM to FC

Finance

Business Rules
S. No
1.

Business Rules/ Requirements

Approved By

There must be a valid contract between TTSL & the Warehouse SCM Manager owner and / or Service Provider.

2.

Security at Warehouse shall stamp the documents on receipt of Warehouse material after making entry in the Security Material Inward Manager Register In case of transportation damage, Warehouse Executive shall SCM Manager mention about the damage while giving the acknowledgement to Transporter.

3.

4.

While receiving or issuing material from the warehouse, the Warehouse warehouse executive shall record the Bar code or Serial Number Manager of the goods. Authorized Signatory List for the purpose of signing Invoices / SCM Manager Modvat documents / Statutory forms / Material Issue etc. shall be kept at Warehouse & updated frequently. Security Personnel shall maintain necessary records of each and everyManager SCM person entering into the Warehouse. Security shall also maintain records related to Despatch of goods like DC No. / Invoice No./ Transporter details / vehicle no. etc

5.

6.

7.

ERP transactions shall be entered to system by a authorized SCM Manager personnel only. Stocks are to be despatched as per FIFO SCM Manager Warehouse

8. 9.

Availability of Fire Extinguishers (FE) at all the times with adequate Manager number of personnel trained to handle it.
10.

Pest control wherever required shall be carried out.

11.

Warehouse Manager Warehouse

Warehouse shall maintain and display Floor plan / Warehouse Layout Manager plan with clearly depicting Fire Exit / Emergency Exit etc
12.

Strong Room to keep RCVs

Warehouse Manager

Detailed Operating procedures

Selection of a Warehouse
Hiring Warehouse or Warehouse services may arise in the following situations as: o Need for new Warehouse to cater the local customer requirements, which could otherwise take much time due to remoteness of existing Warehouse and associated higher logistics cost. o As a business strategy o Exceptional business growth in particular region reiterates need for another Warehouse due to space constraint to meet customer requirements. Circle SCM Manager evaluates the need for new Warehouse or Warehouse services based on business transactions by analyzing benefits vs cost involved. SCM Manager floats enquiries for prospective service providers and Warehouse owner for our need. Following criteria will be considered before finalizing Warehouse o Proximity or connectivity to Airport, Rail transport or Road transport centers o Location wise property / rental rates in near by locality. o Logistics cost / warehousing cost in the area. o Availability of labour in the area. o Ease of accessibility in case of an emergency like fire etc. o Area should not be prone to floods etc. o Power situations in the locality. If required Circle SCM Manager shall visit the Warehouse location and submit the Visit report to corporate SCM along with his recommendations. Corporate SCM shall assess proposals received for Warehouse or Warehouse services based on parameters viz. business requirement; cost associated with warehousing, initial investment etc and finalizes the Warehouse or Warehouse services along with Circle SCM Manager.

Formal agreement shall be signed between TTSL and Warehouse owner or Service provider after approval from Corporate SCM and Corporate / Local Finance. The Warehouse Executive shall inform the concerned SCM Manager to further inform Finance representative on the insurance coverage of Warehouse.

Receiving of material.
Warehouse Executive shall receive shipment intimation / pre alert note from SCM team / logistics team / Transporter / Vendor and verify Purchase Order (PO) in system. On receipt of material at Warehouse gate, Security checks for documents, condition of goods and allows the goods to be taken inside after making entries in the Security Material Inward Register and stamping the documents. Warehouse Executive shall check cartons for quantity, appearance and transportation damage if any. Warehouse Executive shall verify following documents before unloading of goods from Vehicle. o Indigenous Material Invoice Copy -Duplicate for Transporter Invoice Copy -Original for Buyer Delivery Challan in case, Invoice is not available. Rail Receipt in case of Rail transport & Lorry Receipt in case of Road transport. Test Reports / Inspection Reports if any Necessary Tax exemption forms if any. Road Permits, wherever applicable STN (Stock Transfer Note), in case of stock transferred material ATN (Asset Transfer Note), duly authorized, in case of capital items MRN (Material Return Note) for the material returning from sites & other places

o Imported Material Invoice Copy Bill of Lading copy / Airway Bill copy Packing List Certificate of Origin copy, if applicable Test / Inspection Reports, if any Bill of Entry Duplicate Copy for claiming duty benefit. N Form / Octroi clearance documents, if any.

Warehouse Executive checks the Purchase Order Number from the despatch documents and checks from the ERP details of PO. o In case no valid PO is there, Warehouse Executive shall inform the concerned SCM Manager and shall take further action. o In case documents accompanying goods are incomplete or inappropriate information shall be passed on to concerned SCM Manager for taking appropriate actions along with a discrepancy note.

If documents accompanied are found OK and valid PO exists in the system, Warehouse Executive shall allow unloading of material from Vehicle. In case of returned material, it shall be clearly specified on MRN (Material Return Note) whether the material is useable or to be scrapped. In case, the material being returned is already captialised in the past, ATN (Asset Transfer Note) shall also be attached. Warehouse Executive at Warehouse shall ensure safer and proper unloading of goods from vehicle and will count the number of packages / cartons etc unloaded and shall also verify conditions of outer cartons and transportation damages, if any. o In case damage of goods is noticed, Warehouse Executive shall speak with the concerned SCM Manager to ask whether it is to be received. In case yes, Warehouse Executive shall receive material and give acknowledgement to the Agency, which brought the material specifically mentioning about the damage on the receipt documents. o Information shall be passed on to concerned SCM Manager in writing for taking appropriate actions along with a discrepancy note. The concerned SCM Manager shall initiates discussions with Supplier or Finance for insurance claim depending upon price basis (like FOB, CIF, FOR, ExWorks etc) of the contract.

If all documents and goods received are found OK, Warehouse Executive shall receive material and acknowledges the documents to the Agency, which brought the goods. Warehouse Executive conducts verification of the quantity of material received with respect to despatch documents. Wherever possible, 100 % inspection is done. o In case, quantity of material received is very high, verification is done by sampling method. Such sampling undertaken shall be documented. o In case of any discrepancies in quantity, noted by adapting the sampling method, re-verification shall be conducted by increasing the sample lot.

o In case of any discrepancy of quantity with respect to the despatch documents received, Warehouse Executive shall issue a discrepancy note to concerned SCM Manager.

In case of any goods having distinctive serial numbers or bar code like ESN, Warehouse Executive shall ensure scanning of bar codes, which will be captured in the system while making GRN.
Warehouse Executive shall prepare GRN and makes entry in the system. o In case of RCV / RUIM cards / Calling Cards / Walky Kits, Warehouse Executive shall capture Serial Numbers and makes entry in the System while receiving the material. Warehouse Executive shall allocate area for the material in a specific bay in the Warehouse. While allocating the area, parameters like dimensions of material, ease of handling the material, expected time of issue, manufacturers recommendations of stacking are considered. Warehouse Executive shall instruct and supervise the transfer of material and store the material in the allocated area in the specified bay. Warehouse Executive shall enter GRN, date, bay of Warehouse etc. in the material tracking system (WMS of ERP or an excel sheet etc), so that it is easy to find the material in the Warehouse. Warehouse Executive shall label the material indicating description and material code.

Issue of Material
Warehouse Executive shall issue material in following scenarios:

Stock Transfers
Material movement from Warehouse to Sites / Offices/ Agencies / Distributors. 1. User shall raise Material Issue Request (MIR) as per CoA and forward it to SCM. User shall mention WBS element and Site details in MIR for delivery of goods 2. SCM Manager shall verify the request and checks for material availability and forward MIR to Warehouse. 3. Warehouse Executive shall check the MIR received vis--vis the list of authorized signatory provided by concerned SCM Manager to Warehouse. If the approval is an order, Warehouse Executive issues the material and makes relevant entries in the system. In case, material is not available in

the Warehouse, Warehouse Executive sends the request back with comments. In cases where, goods have distinct Bar codes, Warehouse Executive shall ensure to scan this while issuing the material and relevant entries shall be made in the system. Where there are distinct Serial Numbers and not Bar codes, Serial numbers shall be recorded.

4. Warehouse Executive shall receive POD from Transporter after delivery of goods. 5. Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager. 6. It is expected that no material directly reaches the sites without touching the Warehouse. However under exceptional circumstances, should there be a situation like this, approval from Corporate SCM shall be taken by the concerned SCM Manager before regularizing the transactions. Material movement from Warehouse to Retail Stores 1. For Retail Store, User shall raise: MIR in case of goods, which will be consumed at Retail Store as per CoA and forward to SCM. Such items are Furniture sets, Monitors, DG Sets, Air Conditioners, etc. Stock Requests in the Retail Management System (RMS) for items, which will be sold from Retail Store.

2. After receipt of MIR, SCM Manager shall verify for approval hierarchy and forwards to Warehouse however in case of RMS, pre approved Stock Requests by User HOD forwards to Warehouse directly. In case of RMS system, after receipt of request from User, Warehouse Executive shall raise STN in ERP System

3. Warehouse Executive shall arrange for material despatch to Retail Stores and makes entry in the system. In cases where, goods have distinct Bar codes, Warehouse Executive shall ensure to scan this while issuing the material and relevant entries shall be made in the system. Where there are distinct Serial Numbers and not Bar codes, Serial numbers shall be recorded.

User shall mention WBS element and Site details in MIR for delivery of goods. Warehouse Executive shall issue material against WBS element for posting consumption of goods in the system. In case of items to be sold, after material despatched by Warehouse Executive, Retail Store shall make GRN on material receipt and stock will be depleted from Warehouse location and reflects in Retail Store location. When Retail Store shall generate Sales Invoice, it will be linked to General Ledger (G/L) account and G/L account will be updated automatically.

4. Warehouse Executive shall receive POD from Transporter after delivery of goods at Retail Stores. 5. Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager. 6. It is expected that no material directly reaches the Retail Store without touching the Warehouse. However under exceptional circumstances, should there be a situation like this, approval from Corporate SCM shall be taken by the concerned SCM Manager before regularizing the transactions. Material movement from Warehouse to Fulfillment Centers ( FC ) 1. Fulfillment Centers shall raise MIR in the system based on stock availability report received from SCM. 2. SCM shall arrange Stock Transfer of goods to FC against FC Request in ERP system. 3. SCM shall forward MIR to Warehouse for despatching the material to FC. 4. Warehouse Executive shall arrange material despatch to FC & will receive POD from Transporter after delivery of goods at FC. 5. FC shall send daily report to Finance for delivery of goods and Finance to raise Sales Order in ERP to knock-off the STR rose. 6. Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager. 7. Finance shall carry out reconciliation based on physical verification report submitted by FC and stock statement shared by SCM. Intra-Circle Material movement 1. Based on request received or Intra-Circle Warehouse request, Warehouse Executive shall make STN and despatch the material to other Warehouse within the Circle on approval from concerned SCM Manager. 2. Warehouse Executive shall receive POD from Transporter after delivery of goods at Retail Stores.

3. Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager. Inter-Circle Material movement 1. Based on request received from Corporate or from some other circle, transferee circle shall raise the STO (in ERP) on the circle, which has to transfer the material within two working days. on approval from concerned SCM Manager. 2. The transferor shall prepare the STN and dispatch the material on approval from concerned SCM Manager depending upon availability of material. 3. Warehouse Executive at destination location shall make GRN on receipt of material which will be linked to STO / STN raised while despatching the material. 4. Warehouse Executive shall receive POD from Transporter after delivery of goods at Retail Stores. 5. Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager.

Sales
BU / Sales team shall forward payment received to the Finance. Finance shall raise Sales Order and forwards to SCM. Respective SCM Manager shall send email instructions to Warehouse Executive for despatching the material as per Sales Order. Warehouse Executive shall make entry in the system, prepares Sales Invoice and depletes stock in the ERP System.

Warehouse Security
Security shall ensure appropriate checking of all employees & visitors coming inside and going out of the Warehouse. Any equipments / gadgets / mobile / laptop etc carried by visitors must be declared at the time of entry and carried along only if Security allows. Security shall ensure incoming vehicles to Warehouse reports at security gate and handover documents like Delivery Challan / Invoice / LR etc to Security guard. Security at Warehouse shall stamp the documents on receipt of material after making entry in the Security Material Inward Register While going out of Warehouse, security personnel will check every visitor and ensure visitors pass is properly signed

 Every outgoing vehicle will report to security gate before moving out and security personnel will ensure that material going out is as per despatch documents. Before letting the vehicle out of the Warehouse premises, a physical check of the personnel and the vehicle shall be done by the Security guard. Security will maintain inward and outward register for material movement. Other Security Requirements

Warehouse Manager shall ensure that o Security will patrol Warehouse premises for ensuring safety at all locations. o Availability of Fire Extinguishers at all times w.r.t. category of goods. o At all times extinguishers are checked, from time to time w.r.t. Manufacturers guidelines. o The personnel working in the Warehouse are adequately trained to handle fire situations. o In case of damage or loss due to fire, theft, earthquakes, floods etc, the Warehouse Executive shall immediately inform the concerned SCM Manager who will fulfill all insurance formalities in consultation with Finance. o Exterior doors and windows shall be locked and shall be inspected at the end of each day.
o Duplicate keys are not allowed without proper approval. o Outdoor openings, such as air vents and utility access points, have been covered, locked, or screened. o Exterior floodlights and iron grills or bars for windows are installed and maintained. o Emergency lighting is in place. (Can be flashlights or installed lights) o Floor Diagram should be present at every exit directing the quickest exit out of the premises in case of an emergency. o The Warehouse must have a strong solid metal door, preferably a fire resistant door, not bars or grillwork.

Glossary of terms
S. No.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30.

Term
BER CIF COA DC DG DOA ERP FC FE FIFO FOB FOR FPL FWT GRN G/L LR MIR NIU PO POD RFQ RMS SCM STO / STN TPL WBS WE WM WMS

Description
Beyond economic repair Cost, Insurance & Freight Chart of Authority Delivery challan Diesel Generator Dead on arrival Enterprise Resource Planning Fulfilment Centres Fire Extinguishers First in first out Free on Board Free on Road Fourth Party Logistics Fixed wireless terminal Goods Receipt Note General Ledger Lorry receipt Material Issue Request Network interface unit Purchase Order Proof of Delivery Request for Quote Retail Management System Supply chain management Stock transfer order / Stock transfer note Third party logistics Work Breakdown Structure Warehouse Executive Warehouse Manager Warehouse Management System E.g. Excel sheet

Process Overview (Flow chart)

Selection of Warehouse

Circle SCM

Start

SCM Manager evaluates need for new Warehouse or Warehouse Services based on business transactions by analysing benefits vs cost involved.

SCM Manager floats enquiries for prospective service provider or Warehouse Owner

If required Circle Manager shall visit the Warehouse location and submit the visit report to Corporate SCM along with his recommendations

Finalise the Warehouse along with Circle SCM

Corporate SCM

Corporate SCM shall assess proposal received for Warehouse based on parameters viz. business requirement, cost associated with Warehousing , initial investment etc Signing formal agreement between Warehouse owner after approval from Corporate SCM , Corporate/ local finance

Warehouse

Finance

Warehouse Executive shall inform concerned SCM Manager to further inform Finance representative on the insurance coverage of Warehouse

End

Receiving of Material

Start

Warehouse Executive shall receive shipment intimation / pre aleart note from SCM team / logistics team / Transporter / vendor

Verify PO in the system

On receipt of Material, Security checks for documents, conditions of goods and allows the goods to be taken inside after making entries in the Security Inward register and stamping the documents Yes

Warehouse Executive shall check cartons for quantity, appearance and Transportation damage if any.

Warehouse Executive shall verify despatch documents before unloading the vehicle.

Warehouse Executive shall ensure safer and proper unloading of goods from vehicle and verify for transportation damage if any All documents and goods received are found OK, Warehouse Executive shall receive the material and acknowledges the documents to the agency which brought mateerial.

No

Documents accompanied goods are appropriate

Yes

Warehouse

No

Transportation Damage

Yes

Inform concerned SCM Manager and shall take further guidelines

No

Valid PO

Warehouse executive checks the Purchase Order no. from despatch documents and checks from ERP details of PO.

Yes Warehouse Executive shall receive material and give acknowledgement specifically mentioning about the damage on the receipt documents Warehouse executive shall allocate area for material in the specific bay of Warehouse. Warehouse executive shall instruct and supervise the transfer of material and store the material in the allocated area.

Warehouse Executive conducts verification of the quantity of material received wrt despatch documents. 100 % inspection is done wherever possible.

No

Warehouse Executive shall prepare GRN and makes entry in the system.

Discrepency noted after verification / re-verification of quantity

Yes

Issue Discrepancy Note concerned SCM Manager

Bar Codes like ESN / Distinctive Serial Numbers

Scan Bar Code or Yes record distinctive Sreial numbers

Warehouse executive shall enter GRN, date, bay of Warehouse etc in the material tracking system ( WMS or ERP or an excel sheet etc )

Warehouse executive shall label the material indicating description and material code.

End

No

Issue of Material- Material Movement from warehouse to Sites / Offices

User Deptt.

Start

User shall raise Material issue Request (MIR) as per CoA and forwards it to SCM. User shall mention WBS element and site details in MIR for delivery of goods.

SCM Manager shall verify the request and checks the material availability and forward MIR to Warehouse

SCM

Sending request back with comments

N Goods have distinct bar codes or serial numbers Y Warehouse Executive shall ensure to scan this while issuing the material and relevant entries shall be made in the system. Warehouse Executive issues the material and make relevant entries in the system.

N Warehouse Executive shall check the MIR received vis--vis the list of authorised signatory provided by concerned SCM Manager to Warehouse.

Warehouse

Material available

Warehouse Executive shall receive POD from Transporter after delivery of goods.

Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager It is expected that no material directly reaches the sites without touching the Warehouse. However under exceptional circumstances, should there be a situation like this, approval from corporate SCM shall be taken by the concerned SCM Manager before regularising the transctions

End

Material Movement from Warehouse to Retail Stores

Start
User Deptt.

Items Sold from Retail

User shall raise Stock requests in the Retail Management System(RMS) for items which will be sold from Retails Store

User shall raise MIR in case of goods which will be consumed at retail Store as per CoA and forward to SCM. User shall mention WBS element and site details in MIR

After receipt of MIR, SCM Manager shall verify for approval hierarchy and forwards to Warehouse

SCM

End Receipt of Pre approved Stock Requests by User HOD forwards to Warehouse directly or MIR from SCM Manager
Warehouse

In case of RMS system, after receipt of request from user, Warehouse Executive shall raise STN in the ERP System.

It is expected that no material directly reaches the sites without touching the Warehouse. However under exceptional circumstances, should there be a situation like this, approval from corporate SCM shall be taken by the concerned SCM Manager before regularising the transctions N

Warehouse Executive shall arrange for material despatch to Retail Stores and makes entry in the System.

Goods have distinct bar codes or serial numbers

Warehouse Executive shall ensure to scan this while issuing the material and relevant entries shall be made in the system.

Warehouse Executive issues the material and make relevant entries in the system. In case of MIR Executive shall issue material against WBS element for posting consumption of goods in the System.

Warehouse Executive shall receive POD from Transporter after delivery of goods.

Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager

Material Movement form Warehouse to fulfillment Centers (FC)

Start

Fulfillment Centres(FC) shall raise MIR in the system based on stock availability report received from SCM

FC shall send daily report to Finance for delivery of goods.

FC

Finance to raise Sales Order in ERP to knock-off the STR rose.

Finance shall carry out reconciliation based on physical verification report submitted by FC and stock statement shared by SCM

Finance

SCM shall arrange Stock transfer of goods to FC against FC request in the ERP System.

SCM shall forward MIR to Warehouse for despatching the material to FC

SCM

Warehouse

Warehouse Executive shall arrange material despatch to FC & will receive POD from Transporter after delivery of goods at FC

Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager

End

Intra-Circle / inter-Circle Material Movement

Based on request received , Warehouse executive shall make STN and despatch the material to other Warehouse within Circle on approval from concerned SCM Manager. Intra-Circle Material Movement

Start

Warehouse

Warehouse Executive shall receive POD from Transporter after delivery of goods.

Warehouse Executive shall keep copy of POD for records and will forward one copy of POD for bill passing of the Transporter to the SCM Manager

Inter-Circle Material Movement Based on Request received , warehouse Executive shall verify request and makes STO in the ERP system and arrange for material despatch to other Warehouse outside the Circle on approval from concerned SCM Manager.

Warehouse Executive at destination location shall make GRN on receipt of Material which will be linked to STO raised while despatching the material.

End

Format:Document ID Records Generated Maintained Retention By Period

Security Material Inward Security 3 Years Register Incharge at Warehouse Invoice Copy, Delivery Challan , Bill of Entry, Packing List and Airway Concerned bill and related despatch SCM documents executive 8 Years

Material Issue Request Warehouse 1 Year (MIR) Manager Proof of Delivery (POD) SCM copy Executive/ Warehouse Manager Sales Invoice Purchase Order 1 Year

Warehouse 8 years Manager Concerned SCM executive 8 Years

SCM-PROFRM-002

SCM-LOGFRM-002 SCM-LOGFRM-003 SCM-LOGFRM-004 -

Goods (GRN)

Receipt

Note Warehouse Manager 3 years Warehouse Manager 3 years Warehouse Manager 3 years

Stock transfer Note (STN) Stock (STO) Transfer Order

Contract between TTSL SCM Permanent and Warehouse Owner Manager & Warehouse Manager

Format:Sr Format Code No. 1 2 3 4 SCM-PRO-FRM002 SCM-LOG-FRM002 SCM-LOG-FRM003 SCM-LOG-FRM004 Format Name Purchase Order Goods Receipt Note (GRN) Stock transfer Note (STN) Stock Transfer Order (STO)

Suggestions:1-To extend process integration throughout the supply chain.

2-The Global expansion of supply chain. 3-To Increase supply chain responsiveness. 4-To manage inventories along the supply chain. 5-The greening of supply chain. 6-outsourcing supply chain management function. 7-Managing inventories along with the supply chain. As companies successfully integrate supply chain process with immediate suppliers and customers,the desires to extend process integration with second and third-tier supply chain members increases.Web services present one of the newest opportunities for supply chain partners. A firm provides an interface for software that can carry out a specified space of task.As competition between supply chains heat up,firms must utilize more accurate information and better communication technologies to respond quickly to changing customers requirements,while maintaining low supply chain inventories.Data generated from sales to end customers,along with futures plans that will impact demand,must results in timely forecasts that are communicated up the supply chain to manufacturers and their suppliers.This requires collaboration,use of accurate forecasting tools,and informations visibility among all supply chain members.

To achive the type of performance for a company,specific measures must be adopted for the supply chain itself, Allowing trading partners to adjust their specific performance to further align with supply chain objectives.A numbers of these are listed here. 1-Total supply chain management costs. 2-supply chain cash-to-cash cycle time 3-supply chain productive flexibility 4-supply chain delivery performance 5-supply chain perfect order fulfillment performance. 6-supply chain e-business performance.

Conclusion:The past twenty-five years have been characterized by tremendous change in the areas of purchasing, transportation,manufacturing,warehousing and information system.These change have brought about changes in the way new products are designed ,produced,and distributed to customers and in the way companies and their relationships with suppliers and customers are managed.Companies have evolved from being strictly internally focused with adviserial supplier relationship and only a passive regard for customers to what we commonly see today-a significant effort placed on building long-term,mutually beneficial

relationships with suppliers and customers;the shairing of ideas, plans and information internally and externally; and listening to customers and end users with the goal of continually satisfying their needs.When done correctly,supply chain becomes formidable competitive entities, customers get what they want continue to retuen, and all of the companies along the supply chain benefit. While all firms are part of a chain of organizations bringing products services to customers,certainly not all supply chains are managed in an truly integrated or coordinated fashion.Firms continue to operate independently in many industries.It is often easy for managers to be focused solely on their immediate customers and their internal daily operations.With customers complaining,employees to train, late suppliers deliveries, creditors to pay and equipment to repair, who has time for relationship building and other supply chain management efforts.So supply chain management is a most important function of a company.

BIBLIOGRAPHY

www.google.com www.tata teleservices.com www.diesl.com www.wikipedia.com www.capitalmarket.com Joel D Wisner, G. Keong LEONG,Keah-choon tan :-author(SCMBOOK) Marketing and supply chain management book