SUPPLY CHAIN MANAGEMENT

Presentation
On
Presented by :
DEFENDERS

M.Nabeel Shahzad Siddiqui

Hammad Ahmed
Haseeb Ali Khan
Faizan Iqbal
Saba Zuberi
Nida Iqbal
Presented to:
Sir. Sohail Majeed
 INTRODUCTION

 Makro is a renowned international brand in the

business of Cash and Carry wholesale centers.

Its originally present in Netherlands as a brand

Makro.

 Makro is a joint venture with the House of Habib,

under the name of Makro-Habib Pakistan Limited.

 There are 2 Centers in Karachi and 2 in Lahore.

 INTRODUCTION

Wide range of food and non food items

under one roof.

 Mission is excellent distribution of

products with best price , quality and variety
to customer.

 They also provide free delivery on selected

items.
 PURCHASES
Reduced purchase cost.
Standard products and cheap sales to the
customers.
It sells everyday products such as grocery
general items outlets etc,
Growth was broad-based across markets and
categories.
Grow volume share in two-thirds of its
business.
Ensure that prices stay competitive.
 PURCHASES
Serve for consumers at all income levels.
Emphasized on strengthening its relationship
with its supplier.
The prices varied from day to day
Bargaining power.
Offers high discount as compared to any other
retailer.
They earned good revenue in the form of
higher volumes, low pricing.
 PURCHASE PROCESS
Min. Qty WMS Procurement Dept Vendors

When the When the Then When Vendor

stock reaches message is Procurement received the
to minimum received as the Department purchase order
quantity, a stock reaches generate a the start work
message is to minimum purchase order to fulfill the
send to quantity. Then and send it to order for
Warehouse a message is Vendor for Makro .
Management forward to stocks
System . Procurement purchase.
Dept.
 LOGISTICS

Makro cash and carry brings a new concept in

Pakistan.

It includes 1400 items include vegetables, fruit ,

fish, all types of meat, motorcycle etc.

Makro make the half of the sales for individual

customer.

Average 200 employees are directly employed in

outlet .
EXISTENCE OF THIRD PARTY LOGISTICS
 They use third party logistics to satisfy their logistical business
need.

 Fast and convenient transportation system.

 In distribution centers they have trucks and other mini-load

lifters. They also have there own transport for free deliver of
goods to their customers to reduce cost.

 They have hired skilled drivers with no major traffic violations

from their past

 Makro supervisor gives workers delegate authority for making

decision on time.
 LOGISTICS WITH IN FACTORY:

They use fork lifter, mini cars, palettes and etc in warehouse.

They have wide parking space.

Work is distributed among employees so that no body can

interfere in others work.

Makro done the special KPI (Key Performance Indicator).

SHIPMENTS TO INDIVIDUAL
CUSTOMERS

 Makro is not involved in shipment to individual

customers

CROSS DOCKING

Reduce handle and storage cost.

Cross docking on perishable item.

Reduce lead time.

 PULL STRATEGY

Cross docking changes their supply chain into the demand

chain.

 Follow wal-mart’s strategy.

 focus on customers demand.

 INVENTORY MANAGEMENT

INVENTORY KEEPING:

Vertical inventory system

Its saves space, time and costs
Inventory Accounting
FIFO Inventory System.
 WAREHOUSEING
Makro selling centers used as warehouses.

It has two warehouses, the front store is for display where we
shop and other is at back store where excess inventory is kept.

 They use barcode as well as Radio Frequency Identification

Device tags for its record keeping and safety from stealing.

 Dispatch timing for goods are between 9 a.m. to 5 p.m.

 All the inventories are kept in the right condition, at the right
specific department to ensure its best quality and display
which attract buyers.
TECHNOLOGIES USED IN WAREHOUSE
MAKRO USE:

 Barcode and RFID for handling goods.

Smart shelves .

Transportation of goods is directly unload in the store room.

If any supplier have no barcode, Makro will charge @50 paisa per
good from supplier.

The employees control the delivery via PC and with the PDA-
equipment .
WAREHOUSING
PDA EQUIPMENTS
(Personal Digital Assistant)

Foldable keyboards

Data collection, Temperature,

Length measuring Devices.

USB: Modem
 WEAKNESSES & SUGGESTION

Poor Choice of Main Center

Time waste of Suppliers at Goods

Receiving Department
CONCLUSION