Supply Chain Management of Samsung Electronics

Under the Guidance ofMrs. Supriya Gupta

Presented by:

Nitin John

Yashika Gupta

Priya Garg

Shreya

Shahbaz Alam

Introduction

* Samsung electronics is the south Korean multinational electronics and information technology company, it is the flagship subsidiary of the Samsung group.

* With assembly plants and sales networks in 65 countries across the world, Samsung has as many as 200,000 employees

* In 2009, the company took the position of the world’s biggest IT maker

* In may 2010 they ranked 13th out of 28 leading electronics makers.

Lee Kun-Hee (Chairman & CEO of Samsung Electronics )

Products of SamsungConsumer Products Business Products

Mobile phone LCD panels

TV/audio/video set top box

Camera/Camcorder Compressor

Home appliances Fiber optics

PC/Peripherals/Printers Semiconductor

Memory Card Storage

Products

Samsung in India

* Samsung Electronics commenced its operations in India in December 1995

* Two R&D centers in India- Delhi & Bangalore

* In 2010 achieved a sales turnover of $3.5 billion

* Market leader in LED TVs, LCD TVs, Slim TVs

* India’s largest mobile handset brand

* Leading in smart phone segment in India

Mission and vision of Samsung Electronics

The vision of Samsung Electronics is “ to Lead the Digital convergence Revolution”

The mission of Samsung Electronics is to attain this vision by being a “Digital e company”

Brand Value of Samsung Electronics

•Samsung is the fastest growing brand from $6.4 billion to $12.55 in terms of brand equity.

• The company provides a unique solution that fits customer needs which is CRM

• It develops a digital network platform that improves compatibility between products to serve their customer with the best solution.

Key e-processes established by Samsung

* Customer Management Process

* Research and development Management Process

* Supply chain management Process

* Business Management Process

Supply Chain Management solution Implemented by Samsung Electronics

•Supply Chain Planning

It provides a unified planning environment that considers capacity and enables planner to quickly respond to planning request

•Factory Planning and Scheduling

It enables to develop to detailed scheduling and respond to weekly horizon planning

Cont.

* Collaborative demand planning

It provides planning and sales with forecasting tools that utilize trend analysis forecasts in order to develop a collaborative forecast

•Order Fulfillment/ Demand Fulfillment

It provides real ATP (available to promise) and capability to provide information of products

Benefits post implementation of E-GPS by Samsung Electronics

•Increased Forecasting accuracy and plan visibility• Better quality of plans generated through constrained and unconstrained resources and provide a structure that quickly responds to changes• Shortening the order to delivery time by responding quickly to demand changes• Providing accurate and best available ATP dates to sales staff in real time• Generating capacity constrained and accurate plan that reduce costly rush orders, expedited material purchases and overtime

Activities led by Samsung Electronics

Activities are divided into two:- Primary activities- Supportive activities

Primary activities includes-Technological Product planning -Designed Engineering- Procurement- Inbound Logistics

- Manufacturing- Distribution Order planning & forecasting- Outbound Logistics- Marketing - Sales- Services

Supporting activities includes- Firm Infrastructure- HR Management

Distribution network of Samsung Electronics

The main objective of this distribution system is to ensure that the end consumers gets the product of his choice the e from any of the samsung dealers, and the time to replenish the same to the dealer stock is minimum

Samsung follows 2 tier of distribution system

•Distribution centre at regional level

• Warehouse at the branch level

Reason for distribution system internet helped Samsung Electronics

• It turns to better inventory management• it reduce the entire business process cycle to a simple 24 hours to generate the entire order processing online from purchase order to corresponding Performa invoices•To know the product availability , cost and delivery time and then decide which product to order• to get the information about the port that the product would be shipped to and the time would take to reach• the customer can directly register complaints and access site for customer care

Thank you