TABLE OF CONTENTS

LG ELECTRICALS ................................................................................................................................... 2

PANASONIC ............................................................................................................................................... 3

GLOBAL DIMENSION ............................................................................................................................. 5

ROLE OF LOGISTICS (TRANSPORTATION, WAREHOUSING AND DISTRIBUTION) IN

SUPPLY CHAIN- ..................................................................................................................................... 11

SOURCING, OPERATIONS AND INVENTORY MANAGEMENT RELATED TO SUPPLY

CHAIN SUSTAINABILITY- ................................................................................................................... 21

SUPPLY CHAIN PERFORMANCE MEASUREMENT AND FINANCIAL ANALYSIS IN

PLACE………………………………………………………………………………………………………………………………..……..……..25

STRATEGIC CHALLENGES AND CHANGES FOR SUPPLY CHAIN IN THE FUTURE FOR

BOTH COMPANIES…………………………………………………………………………………...27

REFERENCES…………………………………………………………………………………………..31
 LG Electricals
In this aggressive business world showcasing methodologies is imperative. They are a few

multinational organizations maintain their business over the world so the multinational

organization must utilize its own particular promoting procedures. This examination depicts the

large-scale condition of the association and its future basic leadership process. All inclusive the

parcel of business to accomplish their objective by its own advertising procedures design. Here

the examination tells about the LG Electronics and its future arrangement in the focused market.

LG Electronics is the one of surely understood multinational organization in this world. This

organization conveyance imaginative advanced item, for example, stimulation, amusements,

home media and home apparatus to client. LG Electronics

supported in 1958 as Gold Star in Korea. In 1995 its

renamed as LG. Its earlier item is purchaser TV, radio,

cooler, ventilation system and clothes washer. LG electronic

acquaint some new innovation with the computerized world,

for example, the principal CDMA advanced handset, 60-

inch plasma TV. LG hardware have great corporate culture a portion of these "No reason, we not

I, Fun work put". LG mark included four fundamental component esteem, advantages, guarantee

and identity. This organization set the long-haul objective and work towards the objective. The

vision of the organization is Global best three out of 2010. LG controls 114 nearby backups

everywhere throughout the world. The are 82000 individuals work for this organization. LG

acknowledge as obvious that mechanical advancement is the best way to accomplish the market.
So, its conveyance most recent innovation to the client.

LG Electronics manufactures a wide range of smartphones and tablet devices. Other than the G3,

LG officially unveiled the curved smartphone, G Flex, on 27 October 2013. LG has released it in

South Korea in November 2013, and later announced releases in Europe, the rest of Asia, and

North America. At Consumer Electronics Show in January 2014, LG announced a U.S. release

for the G2 across several major carriers.

PANASONIC

The organization was established in 1918 as a maker of light attachments and has developed to

end up one of the biggest Japanese hardware makers close by Sony, Hitachi, Toshiba and Canon

Inc. Notwithstanding gadgets, it offers non-electronic items and administrations, for example,

home remodel administrations. Panasonic is the world's fourth-biggest TV maker by 2012

market share. Panasonic has an essential posting on the Tokyo Stock Exchange and is a

constituent of the Nikkei 225 and TOPIX files. It has an auxiliary posting on the Nagoya Stock

Exchange. As of March 31, 2012, Panasonic utilized around 330,000 staff and had around 580

auxiliary companies. Panasonic had added up to incomes of ¥7,846,216 million out of 2012, of

which 53 percent were produced in Japan, 25 percent in Asia (barring Japan), 12 percent in the
Americas and 10 percent in Europe. Panasonic’s tasks are sorted out into three wide "business

fields" - Consumer, Solutions and Components and Devices - and nine "space organizations" -

AVC Networks (which produced 17% of Panasonic's aggregate 2012 incomes), Eco Solutions

(15% of incomes), Appliances (15% of incomes), Industrial Devices (14% of incomes), Systems

and Communications (8% of incomes), Automotive Systems (7% of incomes), Energy (6% of

incomes), Healthcare and Manufacturing Solutions. Panasonic put a sum of ¥520,216 million in

innovative work in 2012, proportional to 6.6 percent of its incomes in that year. As of March 31,

2012, Panasonic held a sum of

140,146 licenses worldwide. In

July 2016, it was accounted for

that Panasonic is presently taking

a gander at making acquisitions in

the computerized reasoning (AI)

and machine learning space. As per a source, the organization has set aside $10 million for use in

either a securing or joint venture. Panasonic offers a wide range of products and services,

including air conditioners, refrigerators, washing machines, compressors, lighting, televisions,

personal computers, mobile phones, audio equipment, cameras, broadcasting equipment,

projectors, automotive electronics, aircraft in-flight entertainment systems,

semiconductors, lithium batteries, electrical components, optical devices, bicycles, electronic

materials and photovoltaic modules. Ventilation appliances such as electric fans are

manufactured under KDK and rebranded as Panasonic. Panasonic offers an extensive variety of

items and administrations, including aeration and cooling systems, iceboxes, clothes washers,

compressors, lighting, TVs, PCs, cell phones, sound hardware, cameras, broadcasting gear,
projectors, car gadgets, air ship in-flight amusement frameworks, semiconductors, lithium

batteries, electrical parts, optical gadgets, bikes, electronic materials.

GLOBAL DIMENSION

There are numerous models to influence insect to inventory network fruitful all inclusive and

organizations attempt huge numbers of them yet at the same time there is few territory they

should center the most. The following are a portion of the focuses I read in an article which

totally bode well to following keeping in mind the end goal to take after an effective inventory

network. I am certain LG and Panasonic both have tailed them in a way or another to reach to

this focused level all around.

Arrangement: it is evident that a total and tight arrangement is important between the general

business procedures and production network technique and execution. Obviously, accomplishing

this arrangement is the goal of Sales and Operations arranging, yet it can go considerably further.

Vital Depth: Great supply chains are portrayed by point by point and took after procedures that

are straightforwardly associated with the help of the business. More on that soon, yet at its

center, a technique is a multi-year arrange for that points of interest the what, why, how of the

inventory network and that's just the beginning.

Consumer loyalty with Supply Chain Performance: This ought to be the main however again

production network and consumer loyalty rotate around the arrangement and execution of

different related capacities.

Supply Chain Network Design: Network design is tied at the hip with supply chain strategy. It

is the crucible in which the trade-offs between cost, service, flexibility and more must be managed,

either explicitly or implicitly. Additionally, experts say network design determines some 80% of

total supply chain costs. Supply chain excellence is clearly driven in large part by the quality of

the network it operates in.

Macro Agility: One of the few true sources of overall corporate competitive advantage is the

ability to respond consistently faster to opportunities and changing strategies than the other guys

do. There are two components to this agility, as I have written about before - a more strategic,

longer term view, and a more real-time, right now view. This is the strategic component.

Micro Agility: The other side of the flexibility dimension is the ability to react more quickly and

intelligently to near-term changes in the supply-demand equation and other issues related to

execution.

Talent Management: It seems hard to argue against the idea that how well a company manages

and develops its internal talent is a key component of how good the company's supply chain is.

Talent management has a lot to do with how "sustainable" a company's supply chain really is and

is seeing growing recognition throughout the industry.

Technology Management: This is another area that is often overlooked. This has to do not only

how much is invested in technology, but even more important than spend levels are such areas as

how well new technologies are implemented, how often the returns are at or above what was

projected, how well the full relevant capabilities are utilized, and more.
Collaboration Intensity: Finally, companies are realizing that the next natural path to improve

supply chain performance versus the competition is in improving integration and collaboration

with trading partners.

Supply Chain Culture: This is probably the fuzziest of the 10 attributes, but one for which

differences between companies are often large and easily identified. Again, there is much more to

discuss in this area than room here allows, but it is simply amazing the differences that can be seen

in supply chain cultures across companies.

Global Supply chain of LG:

LG Company has been able to penetrate the e global market having achieved sales of $ 49

billion in 2011. The company has been able to diversify their markets therefore being able to

make huge exports to Italy, Russia, Indonesia and other overseas companies. In line with their

global philosophy, their innovative products have been able to be supported by strong market

campaigns that have been able to lead to strong sales growth. Also, the company is able to set

benchmarks in marketing and digital innovations.

A marketing success platform has been the company’s slogan of ‘LG life’s good. This slogan

has been able to cement the company in the hearts as well as in the minds of various consumers

all over the globe. Also, their underlying vision and goal of creating products that enrich the lives

enable them to gain more markets.

The company’s competitive advantage remains to be the ability to provide innovative high-

quality product’s that their customers prefer.

 A global

company with

more than

77,000

employees

worldwide can

be as complex a

task as a

military campaign. Fortunately, LG Electronics Corporate Vice President of Global Procurement

Strategy and General Procurement Chae-Ung Um have the military background to go with his

lifelong interest in analytics and supply chain operations. LG has recently won the award for

innovation in supply chain sustainability by the Green Electronics Council. Presented at CES Asia

2017, the GEC Catalyst Awards seek to inspire innovation in the design, manufacture, and use of

electronics to advance global sustainability. The organization's extensive inventory network

supportability administration program enables providers to enhance their ecological execution by

exchanging LG's green innovations and related ability. The program enables LG to advance

providers' aggressiveness in maintainability administration and distinguish production network

dangers and address worldwide administrative prerequisites.

Notwithstanding being named 2017 GEC Catalyzing Impact at Scale Honoree, LG production

network maintainability has been perceived by the U.S. Ecological Protection Agency with the

best level Gold Tier Award in the EPA's Sustainable Materials Management Electronics Challenge
and by the Institute of Scrap Recycling Industries with the ISRI Design for Recycling grant for

cutting edge new TV items (LG OLED and LED 4K Ultra HD TVs) that underscore reusing amid

each lifecycle stage. LG Electronics made US$350 million (£211 million) investment funds this

year by enhancing the administration of its inventory network.

Panasonic Supply Chain:

Panasonic is confronting affirmations that laborers in their supply chains are being hoodwinked,

misused and come up short on in Malaysia. The organization has propelled examinations

concerning claims of manhandle made by Nepalese laborers after a Guardian examination raised

numerous worries about their treatment. In a messaged articulation, Panasonic stated, "Panasonic

will direct a full examination concerning the cases made by the Guardian. We are considering

these charges important and if, actually, we find that one of our providers has damaged such laws

or controls, we will guarantee and expect them to make vital restorative move promptly. "We

expect the majority of our providers to entirely follow our CSR [Corporate Social Responsibility]

approach and revelation. These desires are laid out in Panasonic's contracted terms and conditions

with every provider. We don't endure breaks of these terms." In December 2017, Ethical Consumer

saw the Panasonic site for its production network administration strategy. A report entitled

'Production network CSR advancement rules' and dated 1 June 2016 was found. The organization

was not an individual from Ethical Trade Initiative or the Fair Labor Association, nor was there

proof of an association with Trade Unions, different NGOs as well as not-revenue driven

associations to have orderly contribution to check the organization's store network reviews. Hence

Panasonic was considered to have poor partner commitment.

Presently Company is utilizing green acquirement method in their inventory network and

concurrences with their providers. Presently Panasonic consent to a Standard Purchase

Arrangement with every provider furnished that the provider concurs with their administration

reasoning and CSR acquisition approaches. This Agreement incorporates things identified with

CSR, for example, human rights, safe workplaces, and thought for the earth.

The following is the portrayal of the archive Panasonic sign with their Suppliers:

A certifiable organization with their providers is basic for Panasonic to actualize its business

exercises. In this regard, Panasonic expects to satisfy CSR (Corporate Social Responsibility) all

through its production network. Thusly, they unequivocally request that their providers meet the

accompanying CSR prerequisites. These are an indistinguishable points of interest from portrayed

on Panasonic site:

1. Agreement with Panasonic's Clean Procurement Policy Our suppliers must agree with

Panasonic's "fair and ethics-based procurement principle" (Clean Procurement Declaration) and

implement fair business.

2. Product Quality and Safety our suppliers must provide the product quality and safety levels

required by Basic Purchase Agreements and individual contracts concluded with Panasonic's

business units. They must also develop quality assurance systems and fulfill requirements specified

by quality warranties.

3. Environmentally Consciousness Management (Green Procurement)

Our suppliers must actively implement programs for conserving the global environment and

conduct environmental management. The supply of all parts, materials, and products to Panasonic

must be carried out in accordance with the Green Procurement Policy.

4. Compliance and Fair Trade our suppliers must ensure full compliance with laws, regulations,

and social ethics under the Basic Purchase Agreements concluded with Panasonic's individual

business units.

5. Data Security our providers must actualize data administration for offering data in line to the

data security approach put forward in Panasonic's ISM Criteria for Suppliers

6. Defending of Human Rights and the Health and Safety of Labor -Our providers must not utilize

any unlawful, constrained, or tyke work compel. They should likewise completely agree to the

laws and controls in every nation and locale where they direct business tasks as to work conditions

and word related wellbeing and security principles, including compensation and working

conditions. Thus, on the off chance that we look at the nature of the two organizations we can

comprehend that both have colossal contrast in their tasks. There is colossal contrast how they

utilize their inventory network accomplices and utilize their activities.

ROLE OF LOGISTICS (TRANSPORTATION, WAREHOUSING AND

DISTRIBUTION) IN SUPPLY CHAIN-
LG’s Logistics: The aggregate cost engaged with the store network is the cost that the organization

acquires in conveying item from obtainment till it achieves the end clients. Along these lines, the

aggregate cost is the Total Delivery Cost (TDC) is the whole of all the important expenses of

conveying to a client where outbound cargo is just a single of the segments. The overall cost

incurred is accounted under heads like purchase cost, inventory holding cost, manufacturing or

assembling cost, packaging cost, outbound freight cost, transporters cost, sales tax paid,
warehousing maintenance cost, C&FA agency cost, IBT cost, land loading costs etc. Apart from

all these there exist other overheads like administration, maintenance, lightening, support system

cost etc. On the off chance that we discuss just India area of LG electric portion, the LG

coordination’s organize comprised of three focal circulation focuses, 18 territorial dispersion

focuses, and in excess of 3,000 household representatives. In this condition, LG assembles in

excess of 700 truckloads consistently, 300 of which convey to the CDCs with the staying 400

conveyed to the RDCs. The key issues confronting administration could be classified on two

levels: the quality and openness of exact and opportune data, and best practice transportation and

dispersion administration. LG experienced abnormal amounts of mistaken shipment arranging,

stock, and limit accessibility data. Dissimilar manual procedures were received because of this

known shortcoming. LG Electronics formally propelled its GSCM framework with a dispatch

occasion at its Twin Towers Headquarters in Yoido, Seoul, Korea. The new GSCM (Global Supply

Chain Management) framework definitely cut down on stock through incorporated control of

whole business forms from accepting requests, creation to deals with an online connection of LGE

organizations around the globe. In the wake of building the all inclusive ERP framework in late

1999, LG occupied with its GEM (Global Enterprise Management) undertaking to set up an

incorporated framework for abroad backups. The new GSCM framework was a piece of that

venture. Another piece of the GEM venture was the foundation of GFCM (Global Financial and

Cost Management) framework for budgetary administration, which will likewise be finished soon.

Both GSCM and GFCM frameworks enhanced LGE's corporate focused edge in the worldwide

business condition by giving the organization front line business administration apparatuses. To

viably oversee Logistics, LG set out to build up coordinated best practice work processes over the

whole transportation and conveyance association. The choice standard was centered around
cooperating with the best in class transportation administration arrangement supplier, trailed by

the most reduced general aggregate cost of possession the minimum rest and a fast time to

esteem.The situations LG Transportation with its annual expense exceeding $40 million, was

recognized as one of the critical areas within the company’s operations that would deliver

significant value to both the top and bottom line. Transportation Cost account for approximately

51% of total logistic cost and was recognized as a primary target for reduction. In order to extend

the value of Oracle ERP and EXEWMS systems deeper into the distribution network, LG needed

to integrate a best of breed transportation management into its existing enterprise management

systems.

Different manual procedures were received because of this known shortcoming. LG Electronics

formally propelled its GSCM framework with a dispatch occasion at its Twin Towers Headquarters

in Yoido, Seoul, Korea. The new GSCM (Global Supply Chain Management) framework

definitely cut down on stock through incorporated control of whole business forms from getting

orders, generation to deals with an online connection of LGE organizations around the globe. In

the wake of building the all-inclusive ERP framework in late 1999, LG occupied with its GEM

(Global Enterprise Management) Designed to meet the requests of the coordination’s business and

oversee and additionally chop down the transportation cost to a great extent. Gives transportation

arranging and execution capacities to shippers and 3PL suppliers. TMS arrangement coordinates

and streamlines transportation arranging, Freight installment, execution and business process

robotization on a solitary application over all methods of transportation, from full truckload to

complex sea, air and rail shipment. It helps in enhancing client benefit bring down transportation

cost, empower better resource usage and give adaptable and worldwide satisfaction choice. LG

Electronics, one of the world's biggest purchaser hardware producers executed i2 Next Generation
best-hone transportation administration answers for synchronize intra-undertaking work processes

crosswise over disseminated tasks. LG administration perceived the need to streamline its business

forms and distinguished duplicates of change inside its transportation and dissemination activities.

i2 next – age TMS was the main arrangement that had the capacity to conveyance best-in-class

store network administration usefulness alongside the adjust capacity to alter work processes and

scale crosswise over are intricate and circulated production network organize.

With i2 cutting edge transportation administration, LGE could rapidly achieve incorporated work

processes between the current frameworks foundation, including ERP, OMS, WMS and Logistics

administration frameworks. The lead time for the sending for i2-Next age TMS was 90% speedier,

than if comparable arrangements were conveyed through conventional advancement and

incorporated strategies.

Panasonic Logistics:

An all day, every day industry needs answers for keep it running predictably Supply chain ventures

have endless interconnected components. They're striving to enhance those communications, with

ground breaking coordination’s and inventory network administration support to move items to

and from plants and stockrooms, on shore and off. Regardless of whether it's following

compartments from ship to rail, examining boxes at a stacking dock, or taking care of things at the

airplane terminal, Panasonic has the hand-crafted innovation for laborers require. They say- Truck

it, ship it, load it on a rail car – it all moves better with mobile computing. In its long journey,

cargo is handled by many different hands: dock workers, truckers and front-line rail employees,

like conductors and yard workers. Each works in fast-paced, demanding conditions where

equipment has to be rugged to keep up. That’s why their laptops, tablets and handhelds are built
to survive drops from several feet from a train platform or a -6° day when freight has to keep

moving. The conditions are no less challenging in the warehouse, where you need to keep track of

tons of cargo being shuffled through each hour. Mounting devices on forklifts, you can keep

operators in continuous motion, scanning barcodes with built-in cameras or using touch-screens to

enter information - even with gloves on. Pinpointing the situation of shipments-When it comes to

moving products, Panasonic's portable PCs guarantee a consistent computerized work process by

associating your workforce, payload and framework. Truckers, for instance, can diminish

conveyance blunders with advanced bills of filling that track and report load status progressively,

and diminish fuel costs through shrewd course arranging. Nobody traps horses, our tablets and

handhelds can bolster every one of your needs in travel, including full-estimate calculated

applications and ticket filtering. Accessible with incorporated standardized identification scanners,

magstripe peruses, worked in RFID and far reaching remote capacities, they take care of business,

regardless of where it happens to be. At its booth (Hall 20 / Stand C73), Panasonic used live

demonstrations and video displays to introduce its full line of solutions which maximize

operational efficiency at each step of the supply chain from labeling and dispatch error detection

at factories, to sorting and loading at distribution centers, on to transportation and proof of delivery.

A video display at the front of the booth was illustrating the flow of logistics information and

material tracking processes from the point of receiving an order all the way to delivery,

highlighting the various products and solutions that Panasonic offers to contribute to supply chain

operations. Furthermore, Panasonic's group company, Zetes Industries S.A., exhibited its unique

software solutions for supply chain management and operation.; quick and easy identification,

serialization and aggregation on packaging lines; and easy and faster (no error) warehouse

operations for more reliable delivery. Furthermore, an RFID/Image ID Gate system demo shows
how parcels passing through the gate can be immediately scanned simultaneously, in units of

individual products or pallets, by RFID and/or 2D barcode to reconfirm if the deliverables contain

the correct items and quantity. Pinpointing the situation of shipments-When it comes to moving

products, Panasonic's portable PCs guarantee a consistent computerized work process by

associating your workforce, load and foundation. Truckers, for instance, can lessen conveyance

mistakes with computerized bills of replenishing that track and report payload status progressively,

and diminish fuel costs through clever course arranging. Nobody trap horses, our tablets and

handhelds can bolster every one of your needs in travel, including full-estimate calculated

applications and ticket checking. Accessible with coordinated standardized identification scanners,

magstripe peruses, worked in RFID and complete remote abilities, they take care of business,

regardless of where it happens to be. In the circulation focus arrangements territory, Panasonic's

Visual Sort Assist framework exhibits how boxes on a transport are followed by sensors,

estimating the size, at that point anticipating onto the container the doled out arranging data in

numbers and hues. An Automated Transport System which utilizes a smaller size fork-lift robot to

get and convey beds self-ruling to their relegated goal is illustrated, and in addition a wearable

Power Assist Suit answer for help the stacking/emptying of overwhelming bundles — in this way

diminishing exhaustion to the client.

In the conveyance arrangements region, Zetes' verification of conveyance programming which

guarantees culminate conveyance through ongoing control over gathering/conveyance and

administration forms is shown; alongside field portability arrangements that augment and engage

benefit groups to help complex direct store conveyance and van deals tasks; and easy to understand

in-store answers for cell phones to enhance in-store forms by giving constant on-rack accessibility
data. Moreover, the company's Smart Locker which enables unmanned pick-up and delivery

services of parcels with security access managed by the Cloud is displayed in the booth.

In addition to the solutions areas, a section of the booth is introducing the company's new products,

including a Mobile Enterprise Application Platform (MEAP) utilizing MCL Technologies'

software which is dedicated to supply chain process execution and full control over mobile device

asset management; two new technologies for instant 3D or thermal measurement of parcels using

the cameras on Panasonic's TOUGHPAD devices; as well as an array of rugged mobile devices,

which are able to endure the harsh usage environments of factories, warehouses and delivery

networks.

Panasonic's feature-packed devices, software and thorough knowledge of logistic centers enable it

to create and propose effective solutions, and thus solve problems in operational processes at each

step of the supply chain.

DEMAND MANAGEMENT, ORDER MANAGEMENT AND CUSTOMER

SERVICES RELATED TO SUPPLY CHAIN

LG’s services related to demand, order and customer services:with the rising significance for

incorporated data administration, LGE assembled the new framework to react rapidly to the

quickly changing worldwide market request. The framework has been worked with inventory

network administration arrangement and counseling administration from i2 Technologies Korea.

Framework improvement and usage were done mutually by LGE and LG-EDS. LGE's new GSCM

framework is separated from straightforward IT frameworks by joining configuration, parts

supply, obtainment, stock, generation, and cost administration into an incorporated procedure to

empower key stream of data and social occasion of institutionalized creation information.

At the end of the day, if existing creation frameworks were division level IT frameworks for task

computerization, coordinated GSCM builds up the neuron arrange like adaptable data stream

covering all organization forms from outsourcing accomplices to clients, offering proactive and

forward-looking data framework that can read future changes in the business condition before

deciding working heading of the association. LGE anticipates that investment funds will reach to

about US$54 million (around 70 billion won) per business area for the following 3 years.

All data can likewise be partaken in the online condition between associations all through Korea

to help brisk and exact basic leadership forms. The new framework will likewise build client

certainty as purchasers will have the capacity to track their request status from generation,

shipment to products receipt into stock continuously.

"To guarantee survival in the time of e-business, organizations require process advancement

instead of constant change of its tasks. With the presentation of the GSCM framework, LGE will

have the capacity to limit the alteration time frame to change," clarified Senior Vice-President

Young-min Yoo of Business Innovation Team of LGE. LGE chose i2 Technologies as its

accomplice for GSCM usage in acknowledgment of the organization's involvement and skill

picked up from building store network frameworks of world driving organizations like Texas

Instrument, Dell, and IBM. With the new GSCM framework, LGE will have the capacity to

additionally tweak nature of its activities.

LG’s code of conduct:

In 2009, LGE built up and appropriated "Implicit rules" by which workers over the organization

are required to stand to make an incentive for partners, including clients, investors, providers,

networks, and so on., and is leading preparing on its motivation and expectation. The LGE Code

of Conduct focuses on that representatives must act with respectability and display the most

extreme earnestness in the accompanying four regions: mindful showcasing, item security, item

measures and insurance of client protection. In 2011, they revised their Code of Conduct to

incorporate provisions on the security deformity announcing framework and safety measures to

grasp when taking care of renovated items, while reinforcing applicable provisos to authorize

capable correspondence with clients. LG Electronics directs a corporate-level yearly appraisal of

its business locales and auxiliaries to assess their level of individual data administration, and they

are required to play out a similar evaluation inside on a semiannual premise. LG Electronics leads

a corporate-level yearly appraisal of its business destinations and auxiliaries to assess their level

of individual data administration, and they are required to play out a similar evaluation inside on

a semiannual premise.

Panasonic’s services:

Panasonic has set up an arrangement of Basic Rules for Response to Customers (agreeable with

ISO 10002 and JIS Q 10002) for reacting properly assemble wide to request and protestations from

clients. The CS Planning Office at the Panasonic Head Office manages the execution of these

directions, which apply to all work identifying with client relations in Japan by Panasonic or by

offshoots that handle items bearing the Panasonic mark. In those business locales in Japan, the

organization has actualized a Management System for Response to Customers as a component for
using data in administration that is gotten from clients. These destinations lead intermittent self-

reviews and attempt different endeavors to enhance the nature of client relations. Abroad, the

organization has actualized ISO-consistent administration frameworks in view of the Basic Rules

for Response to Customers and custom-made to the lawful framework in every nation or district.

Panasonic's administration logic has been to add to society through its items and administrations

while continually putting the client first. In light of this theory, the organization endeavors to

enhance consumer loyalty and offers items, arrangements, and administrations that enhance the

lives of individuals around the globe. When providing customer service, Panasonic strives for

sincerity, accuracy, and speed, and acts with humility and appreciation. This finds its basis in the

principle of "true service" that the company's founder described. The company's fundamental

stance is thus to provide customers with trust, peace of mind, and satisfaction.

Request and Order Management: As one of the biggest electronic items makers on the planet,

Panasonic oversees more than 15,000 items under its image. With different channel accomplices

and also numerous dissemination focuses and fabricating units, the organization's production

network anticipating and arranging approach couldn't enough match request to supply.

The organization's divided perspective of offer through and purpose of offer (POS) here and there

prompted ineffectual limited time endeavors, missed chances to fuse client criticism for item

upgrades, misled marking down, and unsuccessful item dispatches. What's more, merchants, as far

as it matters for them, weren't taking full favorable position of accessible assets. Investigating

information from providers and clients was especially testing. The organization worked on

inheritance forms that requested a considerable measure of wasteful manual intercession. Deals,

activities, and arranging (S&OP) had a few such touch-focuses and gauge information was
conflicting. The analytics teams were function-oriented and didn't have an end-to-end view

of the supply chain. Planning occurred just once a month, instead of on a more respons ive

cycle, because the company didn't have enough point-of-sale data to plan more frequently.

With production-to-delivery cycles taking as long as three months—and no agile, real-time

decision process—there were shortages of some products and too much stock of others.

The lack of powerful digital and analytics tools wasn't the company's real problem. At the

heart of its challenge was its inability to adopt new ways of working that embeds insights

into operations. Auspicious transmission of Data-to-Insight-to-Action SM over the store

network makes it more clever, ready to execute quicker and all the more precisely, and

adjust after some time, however this is regularly troublesome because of absence of

arrangement between the front (arrange administration, deals, and showcasing), center

(production network administration, arranging, and estimating) and back office (stock,

fabricating, sourcing, and obtainment) with outside merchants and providers.

Siloed associations saddled with previous innovation require a more significant way to deal

with computerized change. Lean Digital SM is one such approach. It enables organizations

to center around what makes a difference, rearranges computerized mediations, and applies

them in a coordinated method to convey amusement evolving comes about.

SOURCING, OPERATIONS AND INVENTORY MANAGEMENT

RELATED TO SUPPLY CHAIN SUSTAINABILITY-

LG’s Sourcing, Inventory and Operations Management: The SCM in LEG needs different

manual affirmations in each phase of task. The SCM is actualized and after that preparation is

given to top administration first and after that preparation is given to the inner staffs and
furthermore for its accomplices like merchants and providers. After that the organization found to

work a smooth production network in crude material stage, work in process and completed great

stage LEG is one of the players in the aggressive electronic market and there are loads of good

organizations in the market and LEG has upper hand in inventory network administration. It has

upper hand in cost control on the grounds that their stock cost is less. Their stock cost is less on

the grounds that they are putting in less requests in request to decrease the cost of assembling.

LEG stays away from the reason for bullwhip impact by exact request determining, working short

Final report for verification. LEG administration gives more significance to Supply Chain office,

in each unit organization has one store network director and he or she is the full capable of that

unit inventory network. In their organization site they declared that organization has lessened 1. 8

% fabricating cost with the assistance of successful production network; subsequently organization

has compelling inventory network and friends has upper hands in their documented and friends

stands number one position in the market with the assistance of legitimate Supply Chain

Management. Company forecasts very well and avoids the bullwhip effect in supply chain.

LEG does regular market research for Bullwhip effect and company uses the resource properly

and wisely. Company believes in partnerships for better supply chain process and company

has chosen proper inventory control method to avoid excessive production cost. Hence it can

be said that in reducing production cost and improving productivity Supply Chain

Management plays vital role. On the off chance that very association utilize Supply chain

Management they can likewise decrease the assembling cost.

Since LEG is an electronic organization they began utilizing ERP before 8 years currently

organization appreciates the advantages of Enterprise Resource Planning. Organization

conveys the item in emulate they began utilizing ERP in light of the fact that it gives obvious
data all provisions and completed items. With the utilization of ERP organization uses their

production network administration and client relationship administration exceptionally well.

Subsequently it is said that Enterprise Resource Planning causes organization to spa re the

time and to limit the mistakes from this time forward it prompts enhance the execution of

association and expands the benefit of the association.

PANASONIC’S SOURCING, INVENTORY AND OPERATIONS MANAGEMENT:

Seller Managed Inventory (VMI) demonstrate is a successful method to coordinate assets in store

network administration, however numerous researchers trust that VMI is more helpful for the

request side than to the supply-side. This paper picks Panasonic Electric Work - Wanbao

(Guangzhou) Co. Ltd. for instance, breaks down the use of VMI in the inventory network

administration. By elucidating the issues in the customary stock administration, and assessing the

viability of VMI, the creator infers that VMI is a win-win way to deal with the store network. VMI

could diminish the general stock expenses and enhance effectiveness and administration levels of

the entire inventory network. The present idea of stock administration stretches out from the buy

request to definite conveyance and is thought to be a piece of the organization's production

network. An incorporated framework unites the procedures and thing data so when a work arrange

is made, the rundown of parts expected to effectively entire it is checked against the present stock

stacked on the vehicle. In the event that any parts are missing they are hailed to be stacked before

the vehicle is dispatched. This sort of coordination of data can kill return treks to the shop to

recover the missing part which lessens time to repair, includes representative time, and builds fuel

utilization.
Cell phones that can read standardized identification and RFID labels on stock things offer a

progress from paper based frameworks since benefit staff basically point their handheld unit at the

stock tag as opposed to compose item codes on shapes. The handheld gadget perceives the stock

thing's tag and interfaces remotely to organization stock frameworks at that point transmits the

thing data, partner it with the work request, client, and stock amount controls. Moment refreshes

like this imply orders for new parts can be activated consequently through the organization ERP

framework when amounts fall beneath reorder levels. In any case, it additionally implies that

charging can be started endless supply of the work arrange, and that can diminish the time it takes

to get installment. Mobile devices that can read barcode and RFID tags on inventory items offer a

transition from paper-based systems because service staff simply aim their handheld unit at the

inventory tag rather than write product codes on forms. The handheld device recognizes the

inventory item’s tag and connects wirelessly to company inventory systems then transmits the item

information, associating it with the work order, customer, and inventory quantity controls. Instant

updates like this mean that orders for replacement parts can be triggered automatically through the

company ERP system when quantities fall below reorder levels. But it also means that billing can

be initiated immediately upon completion of the work order, and that can reduce the time it takes

to receive payment. Utility service fleets and the inventory they carry are in constant flux based

on the specifics of the service calls they are destined for, making managing the inventory on every

vehicle critical to the success of every call. According to industry watcher Scott Madden ,

“achieving high levels of service requires maintaining more of the right inventory and improved

planning. The challenge is that ‘more’ does not equal ‘better,’ and there is a cost to achieve high-

service levels… Knowing the right parts necessary to maintain high-service levels is critical to the

optimization equation and is based on a number of factors, including inventory item

standardization, criticality, visibility to historical usage (at the highest level of a company

possible), and known future work orders.” Traditional paper-based methods of inventory tracking

have become hindrances because they require manual updates that are labor intensive, error prone,

and are not updated on a timely basis. Today’s mobile technology used in combination with

modern inventory management software can maintain accurate information about where inventory

is located and assure that vehicles are loaded with the items necessary for the specific jobs they

are scheduled to perform before they leave the yard. Service organizations are looked with

different issues that influence their activities. Yet, with regards to giving administration, the most

imperative things to oversee are those that identify with conveying a first time settle on time. That

rundown incorporates benefit staff, vehicles, and stock. Having the correct stock close by like link

joins, wires, disengage switches, individual defensive hardware, electrical cables, and transformers

when the specialist touches base at the administration area can have the effect between a solitary

outing culmination and protracting an opportunity to repair, including costs related with various

excursions and harm to client connections. End-to-end stock perceivability can verify that essential

parts are on the correct vehicle headed for the correct goal and diminish or take out postponements

and included expenses.

SUPPLY CHAIN PERFORMANCE MEASUREMENT AND FINANCIAL ANALYSIS IN PLACE-

LG’s Analysis:

LG Electronics made US$350 million (£211 million) investment funds this year by enhancing the

administration of its store network. Curtailing coordinations spend by 15 for each penny

represented cost investment funds of US$200 million (£120.6 million). The rest of the US$150

million (£90.5 million) was accomplished through enhancements to its stock turnover. An
organization articulation stated: "One of the greatest issues confronting customer gadgets

organizations has dependably been stock turnover. As of the finish of the second from last quarter,

LG's stock turnover period is down over 10 days from the earlier year and has brought about a cost

lessening of approximatelyUS$150million.

Declaring its second from last quarter comes about, the Korean firm anticipated aggregate funds

to achieve US$400 million (£241 million) before the year's over and foresees an expansion in

income of more than US$800 million (£482 million). Didier Chenneveau, LG Electronics' main

inventory network officer, stated: "Productive store network task is the way to picking up an upper

hand in a worldwide business. We have likewise been attempting to limit carbon outflows at each

phase of the inventory network. Economical administration is a best need at LG." The company

is investing heavily in supply chain management innovation over the next few years and intends

to establish and implement a best practice SCM process by 2012. Savings yielded from improved

supply chain management have contributed to LG's aims, outlined in February, to save £1.5 billion

this year to help tackle difficulties resulting from the economic downturn.

Panasonic’s Analysis:

To screen the comprehension of consistence arrangements, the viability of measures, and the level

of adherence once every year we lead keeps an eye on the status of recognition and routine with

regards to the "Panasonic Code of Conduct" in the entirety of our business areas around the world.

More specifically, at each group member company, a director / executive officer is appointed to

be in charge of ensuring adherence to the Code of Conduct. Education and training are conducted

regarding the Code of Conduct; written pledges regarding the observance of the Code of Conduct
are obtained; and checks are made regarding the status of these items. Our auditor conducts an

audit of internal control.

Once each year, employees fill out "Compliance Awareness Surveys." These surveys include

topics that are common globally, such as compliance, and information security, and also other

topics that are specific to particular Companies, places of business, and regions. . There were

around 126,000 respondents internationally in monetary 2017. The study comes about are broke

down from an assortment of viewpoints – district, organization, worker rank, et cetera – and are

utilized as a part of a wide assortment of capacities, for example, the definition of arrangements

and measures with respect to consistence and reactions to particular issues.

For instance, there are uneven levels of enactment, contingent upon the nation, inside Asia—

which Panasonic thinks about a key abroad locale. This area postures impressive dangers with

respect to Panasonic's endeavors to battle debasement In this business environment, in order to

develop fair and powerful solution business – including BtoB and BtoG – we were able to

identify issues through this survey such as: (1) the need for ongoing efforts to instill compliance

awareness, (2) the need for repetition of compliance education, and (3) the national differences in

compliance awareness. Based on these results, various elements were incorporated in the mid-

term action plan to practice in the daily business activities, including (1) the formulation of

action guidelines and education campaigns at the level of the regional headquarter, (2) the

strengthening of e-learning and training programs in each national language, and (3) the

fortification of alliances involving legal departments in each region and the raising of the level of

compliance through auditing. Grave Violations and Corrective Measures

In monetary 2017, Panasonic paid fines for infringement of EU rivalry law identifying with its

cathode beam tube and optional battery organizations. Having considered this advancement

important, Panasonic has kept on attempting to guarantee that, through entire and intensive

administration, such issues don't emerge once more. For data about Panasonic's strategies for

counteracting cartels, allude to the section on "Reasonable Operating Practices: Fair Trade."

In the uncommon occasion that Panasonic winds up mindful of any genuine moral or legitimate

infringement, we stop the abusing conduct instantly, and notwithstanding answering to official

administration, we will think about countermeasures subsequent to checking certainties and

examining the reasons for the infringement in applicable divisions. We provide details regarding

such issues to the Board of Directors as fundamental and right the infringement quickly and

cross-sectionally aggregate wide in view of the determination of the Board.

STRATEGIC CHALLENGES AND CHANGES FOR SUPPLY CHAIN IN

THE FUTURE FOR BOTH COMPANIES:
Shopper Electronics is at a noteworthy articulation point regarding item improvement and

assembling. Conventional request arranging and store network arranging are not any more

sufficient to address the difficulties without bounds. To deal with the exceptional weight from

rivalry, contracting edges and hard to-please purchasers, CE makers and OEMs need to make a

production network guide that extends the extension and part of Supply Chain Management:

1. Supply Chain Collaboration- The pattern to outsource non-center activities is developing

alongside vertical joining of center abilities. CE makers and OEMs would prefer not to get

secured with resources and are outsourcing non-center tasks that have prompted the

development in assembling as an administration. Center capabilities in outline and

advancement that characterize differentiators are being held as assembling gets

 commoditized. At the same time, coordinated effort with retailers has turned out to be

basic. Expanded coordinated effort and mix of information with retail locations

progressively is picking up noteworthiness as a way to detect and shape request.

2. Supply Chain Risk Management: Managing risks emerging from natural disasters and

terror attacks as well as demand and supply risks is imperative. While today’s globalized

sourcing and manufacturing processes are driving down costs, they are increasing exposure

to risk. CE manufacturers and OEMs will need to invest in data integration, business

intelligence capabilities, KPI tracking ability for suppliers, event tracking capabilities, etc

to ensure that they are pro-active rather than reactive and can respond to change swiftly.

Supply Chain Models are maturing with sophisticated data capture, monitoring and

analysis across the manufacturing chain to mitigate risk.

3. Store network Planning: Across the CE business, an opportunity to react to advertise

requests and changes is contracting. The viral impact of web-based social networking can

make and crush request for all intents and purposes medium-term. Producers should be

nimble and adaptable, prepared to extend and develop their supply and assembling systems

in a domain that does not permit precise anticipating. On the request side, producers need

to embrace a forceful level of coordinated effort with retailers so they are better situated to

react to evolving request.

4. Reverse Logistics & Sustainability: Rapid changes in technology are resulting in the

growth of e-waste. With increased regulation around e-waste management, OEMs are

being forced to undertake the responsible management of returns. Consumers too are

demanding products that have a lowered packaging footprint, lowered used of hazardous

material and safe product disposal guarantees as part of sales agreements. There is an
 economic opportunity in the recovery of components that the CE industry has sensed. The

economic value of Reverse Logistics and Sustainability initiatives will create more

stringent methods of evaluating vendors and suppliers.

5. Online life: The development of Social Media has affected the route interest for Consumer

Electronics is created. It has additionally made it workable for producers to screen the

request and utilize online networking as a showcasing and input channel. On the request

side Social Media has helped fuel request in new markets and will assume an inexorably

basic part in store network administration.

6. Digital Supply Chain: Digital content owners are driving the need for devices. Digital

content delivered to smart phones, computers, tablets and TVs is shaping consumption and

the demand for devices. The response from CE manufacturers to innovations in the delivery

of digital content will decide competitiveness and growth.

REFERENCES:

https://www.panasonic.com/global/corporate/sustainability/customer.html

http://www.genpact.com/insight/case-study/syncing-supply-and-demand-for-an-electronics-

giant

https://syracusecoe.org/lg-operation-strategy-final-report/

https://www.cips.org/supply-management/news/2009/november/supply-chain-efficiencies-

save-lg-millions/

http://www.robecosam.com/images/IndustryGroupLeader_DJSI2017_LG-Electronics-

Inc.pdf
https://successstory.com/companies/panasonic

http://www.scdigest.com/assets/FirstThoughts/11-09-16.php?cid=4961

http://www.inboundlogistics.com/cms/article/lg-honored-for-supply-chain-

sustainability%20/

https://www.theguardian.com/global-development/2016/nov/21/samsung-panasonic-

accused-over-supply-chain-labour-abuses-malaysia

http://www.ethicalconsumer.org/companystories.aspx?CompanyId=18993&CategoryId=23

http://supply-chain.unglobalcompact.org/site/article/82

https://www.slideshare.net/nishi5/cfakepathlg-supply-chain-management

https://www.businesswire.com/news/home/20180425006197/en/Panasonic-Exhibiting-

Latest-Connected-Supply-Chain-Solutions

http://www.lg.com/global/sustainability/business-partner/csr-in-supply-chain

http://www.wipro.com/documents/insights/the-future-of-supply-chain-strategy-for-

consumer-electronics.pdf