Report On Supply Chain Activities of Rank Bread

Date of submission: 24.12.2009.

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Report On Supply Chain Activities of Rank Bread

Prepared For: Ms. Jannatul Mawa Nupur Lecturer in Marketing Department of Business Administration Northern University, Bangladesh

Prepared By:

Dipock Mondal

Date of Submission: 30/04/2010

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Declaration

I am Nur- E- Jannath, a student of Bachelor of Business Administration (BBA) program of Northern University Bangladesh. As a partial fulfillment for the requirement of the course Supply Chain Management I have to prepare the report on Supply Chain Activities of Rank Bread.

I hereby seriously declare that the report titled Supply Chain Activities of Rank Bread isPrepared and completed by me under the supervision and guidance of, Ms. Jannatul Mawa Nupur, Lecturer in Marketing, Northern University Bangladesh .

I hereby warrant that the work I have presented does not breach any existing copyright.

-----------------------------------------Dipock MondalDepartment of Business AdministrationNorthern University, Bangladesh

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Acknowledgement

For collecting the information about my study objective and preparing my report properly,

we are grateful to our course instructor Ms. Jannatul Mawa Nupur. Being

authorized of this report, she helped us a lot throughout the time of work by giving her

tender hand time to time.

We are also thankful to those personnel of Rank Bakery, who have helped me a

lot by giving information about the Bakery.

At last I want to thanks again our course instructor Ms. Jannatul Mawa Nupur to give me such opportunity to do such report that will help us to improve my analytical and

communication skills.

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Abbreviation

(A) BBA= Bachelor of Business Administration (B) DBA= Department of Business Administration(C) NUB= Northern University Bangladesh(D) H=High(E) M= Medium(F) L= Low

]Table of Content

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SL.NO. DESCRIPTION Page No.

1.1

1.2

1.3.

1.4

1.5

2.12.22.3

2.4

3.1

4.1

Executive Summary

CHAPTER ONE

Introduction

Origin of the study

Objectives of the studyMethodology of the study

Limitation

CHAPTER TWO

Historical Background

ProductsMission and vision

The Current market situation

CHAPTER THREE

The Supply Chain of Rank BreadCHAPTER FOUR

Conclusion and Recommendations

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10101111

13131313

15-17

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Executive Summary

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Rank bakery was established in 1989. MD. Nurul Huda is the owner of this bakery. He started his with only 5,00,000 taka. At the first time there were only 17 workers but now there is 50 workers work. They work in two shifts. In day shift they make breads and in night shift cake. They are trying to meet the local demand. But the demand is higher than the production.

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Introduction

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1.1 Introduction:

The Rank Bakery was established in 1989. MD. Nurul Huda is the owner of this bakery. He established it for reducing the unemployment in Bangladesh. It is a solepropreatorship business. Their main target is reducing unemployment not earning profit because once upon a time he was an unemployed person and he felt the problem. He started his business with 5 lakes taka. They produce 11 types of breads and 2 types of cake. They are trying to meet the local demand.

1.2 Origin of the Report.

This report is based on my personal experience. Rank Bakery helps to gather practical knowledge about Supply Chain activities followed by Rank Bakery for University students to find out the realistic view of their achieved theoretical knowledge from conducting their Bachelor degree (BBA). I have chosen the distribution channel followed by this Bakery.

1.3 Objective of the study.

Major production companies in Bangladesh usually establish their own distribution network for the marketing of their products with a view to generate maximum sales revenue. Some of the companies however, use separate distribution companies for that purpose. In this report developed and what are the general functions of the distribution channel. The study will also look for the future prospect of the company. The report also covers the following areas:

To know about the Bakery and distribution Channel To generate the overall ideas if system, nature and operation of distribution sector

of Rank Bakery.

How the information and product flows are take place. To find out the major channels of distribution and identify the strong and the

weak points. To know the information’s performed by the various intermediaries to distribute

the product to the end user.

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1.4 Methodology

In order to carry out this study, one source of data and information have been used:

a) Primary data

The primary sources are as below:

1. Direct observation of daily operation.

2. Discussion with management.

1.5 Limitation of the study:

Limitations I had to face in preparing the report is portrayed as below:

Limitation of time is one of the major drawbacks. Some times participant was unwilling to answer and it was difficult to convince

them to answer all the questions. Un- available of information related to the report. Improper knowledge on technological know how.

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Profile of the organization

2.1 Historical Background:

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Rank bakery was established in 1989. MD. Nurul Huda is the owner of this bakery. He started his with only 5,00,000 taka. At the first time there were only 17 workers but now there is 50 workers work. They work in two shifts. In day shift they make breads and in night shift cake. They are trying to meet the local demand. But the demand is higher than the production.

2.2 Products:

They produce cake and bread. They produce 12 types of bread. Such as-

50gm, 90 gm , 100 gm ,150 gm , 200 gm , 250 gm , 300 gm , 350 gm , 400 gm , 500 gm , 600 gm , 700 gm bread.

And they produce 2 types cakes. Such as-

* Piece cake* Top cake

2.3 Mission and vision:

Their mission and vision is reducing the unemployment and meet the demand of their target customer.

2.4 The Current market situation:

The current market situation is very good. The demand for the product is higher than the production.

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The Supply Chain of Rank Bread

3.1 Introduction:

A supply chain consists of all parties involved, directly or indirectly, in fulfilling a customer request. The supply chain includes not only the manufacturer and suppliers, but

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also transporters, warehouses, retailers and even- customers themselves. A supply chain is dynamic and involves the constant flow of information, product, and funds between different stages. These supply chain stages include that customer, retailers

Wholesalers/distributors, manufacturers and component/raw material supplier each stage in a supply chain is connected through the flow of products, information, and funds. These flows often occur in both directions and may be managed by one of the stages or an intermediary.

The objective of every supply chain should be to maximize the overall value generated. The value of a supply chain generates is the difference between what the final product is worth to the customer and the costs the supply chain incurs in filling the customer request. The higher the supply chain profitability, the more successful is the supply chain. Supply chain success should be measured in terms of supply chain profitability and not in terms of the profits at an individual stage. Effective supply chain management involves the management of supply chain assets and product, information and fund flows to maximize total supply chain profitability.

3.2 Customer Order cycle:

The customer order cycle occurs at the customer/retailer interface and includes all processes directly involved in receiving and filling the customer’s order. In this cycle there the retailer takes the order from the target customer. The Rank Bakery can follow those steps.

Customer Arrival Customer Order Entry Customer Order Fulfillment Customer Order Receiving

3.2.1 Customer Arrival:

The term of customer arrival refers to the customer’s arrival at the location. In this term the customer can give their order to the retailer.

3.2.2 Customer Order Entry:

The term customer order entry refers to customers informing the retailer that they want to

purchase the bread and retailer allocating products to customers.

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3.2.3 Customer Order Fulfillment:

In this term the retailer will have to fulfill the demand of the customer for Rank Breads. For this the retailer will have to inform to the Rank Bakery to produce those amount of bread.

3.2.4 Customer Order Receiving:

This is the last stage of Customer Order Cycle. In this stage the customer of Rank Bread receive the order.

3.3 Manufacturing Cycle:

Rank Bakery follows their own manufacturing process. They follow several steps in their manufacturing process. Rank Bread is a demandable bakery item in this area. Everyday manufacturing worker’s are very busy their manufacturing process. The manufacturing of Rank Bakery is typically occurs at the distribution/manufacturing interface and includes all process involved in replenishing distribution inventory. The Rank Bakery can follow those steps in their manufacturing process.

Order arrival Production scheduling Manufacturing and Delivering Receiving

3.3.1 Order Arrival:

Order arrival is the first stag of manufacturing cycle. Here manufacturer received order in local market demand. The manufacturer produced their future demand. When marketer’s complete order receiving of Rank Bread then company produced their product.

3.3.2 Production scheduling:

This process is similar to the order entry process. In the replenishment cycle where they provides their inventory of Rank Breads are allocated to an order. In this stage the

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retailer provide the quantities of Rank Breads and duration of time. The manufacturer produces the product in fixed time.

3.3.3 Manufacturing and Delivering:

This is the third step of manufacturing cycle. This process is equivalent to the order fulfillment of the retailer. During the manufacturing phase of the process, the manufacturer produces to the schedule. Company can follow their own distribution system and provide their retailer. Their manufacturer works as a distributor because there is no distributor.

Availability of Logistics Support:

Different types of transports are available for logistics supports like mini truck and covered van logistics support for shipping the product. They have 30 covered van and 2 mini truck. If they need more they hire from another.

Distribution of the product:

After producing the product, the product will kept in the warehouse to launch for distribution from where the circulation system will start on. There manufacturer works as a distributor. They distribute their product in Mirpur, Mohommodpur, Uttara, Gajipur, Motijhil, and Savar area.

3.3.4 Receiving:Receiving is the last process of manufacturing Cycle. In this stage manufacturer are finished the Rank Bread, warehouse, retailer or customer and inventory records are updated. Other processes related to storage and found transfers also take place.

3.4 Procurement Cycle:

Procurement cycle occurs at the manufacturer/supplier interface and includes all processes necessary to ensure that materials are available for manufacturing to occur according to schedule.

In this process, Rank Bakery ensures that raw material is available for manufacturing of Rank Bread in the due date. They collect the raw materials from Shena Kollyan . When raw materials are not available for manufacturer with one significant difference whereas distributor orders are triggered by uncertain customer demand

Conclusion:

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Every manufacturing organization has their own supply chain. And they also maintain it. The Rank Bakery also maintaining their own supply chain. They are trying to fulfill the demand for their Rank Bread of their customer.

Reference:

Book: Supply Chain Management(strategy,planning,and operation.2nd edition)

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The oral interview.

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