Re-Inventing India‘s Supply Chain

Harish PantManaging Director

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Content

1. India Supply Chain - A perspective

2. India Supply Chain - Challenges

3. Supply Chain Next

4. Supply chain Next - Enablers

5. Supply Chain Next - SMART

6. Supply Chain Next - Move

7. Supply chain in the Industrial Era 4.0 8. Aerospace Supply Chain

9. Conclusion

1. India Supply Chain - A perspective

A Billion On the Go! Processes End Result

2. India Supply Chain - Challenges

• Existence of many world in India• Developed, Developing, Under Developed

• The aspirational: “The Best in the world – Give me now ” to the “Will I ever get and what?”

• Scope and Scale of a billion people with diversity of the whole world: Education, Language, Social, Religion, Caste, Demographic, Money Disparity

• Way of Life - A mind set of Fear, Scarcity, Adjust and Accommodate

• Exploitation of all hue and colour – Political, Social, Economical…

• Multi Variables and Multi constraints

• India’s Super Analytics and Big Data : You Know…God Knows!

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• Contextual: Space - Time - Experience event for one

• One – Million – Billion connect: IOT and People • All Social: Personal is someone's Professional Affair!

• Leaders: The end of managing a serial time

• Experience various @time: Saving micro seconds costlier then days!

• Quantum world at speed of thoughts!

• Designed world

• Disruptive changes: Digitization - Finance / Banking

3. Supply Chain Next

4. Supply Chain Next - Enablers

• Proactive Approach: Passive / Reactive won’t work

• 3C • Collaborate,• Create and • Co-exist - enough for everybody!

• Policy, Structure, System, Processes, in a Unpredictable, Volatile, Changing and Ambiguous world, necessitate formation of Think Tanks and creation of various platforms for interactions

• Infrastructure – A great leveller of many disparities

• Nation building must engage the best talents available• Reward and Recognise

• A simple Doable list to move forward

Analytics

Social

Technology

Mobile

Re-Imagine

SMART

5. Supply Chain Next - SMART

~ 3 Trillion dollar saving by 2022 with Interconnected Digital Supply Chain• As the relative cost of technology goes down with other enablers present there will be a

rapid/disruptive scale of implementation each year forward.

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6. Supply Chain Next - Move

• Anything and Everyone Moving – We have been slow for many decades

• Space• Aerospace• Defense • Railways • Automotive

• A 500 Billion Dollars Opportunity requiring world class supply chain management

• AMP: Automotive industry predicted to reach $300 billion by 2026, create 65 million more jobs; current value of $ 74 billion

• Required inter connected and digital supply chain management and world class Infrastructure

• Organized Commerce is next 500 Billion Dollars!

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A future for manufacturing in which

• Pervasive connectivity, • Sensor networks, • Cyber-physical systems, and• Increased production flexibility

promise to drive the creation of ever-more customized and smarter products.

Also,

• Deep Learning • Advanced analytics. • Human-machine interfaces. • Digital-to-physical transfer.

Will make supply chain smarter by day!

http://www.gilcommunity.com/blog/hannover-highlights

7. Supply chain in the Industrial Era 4.0

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• OEM’s, Tier 1 suppliers, Raw Material and Chemicals suppliers at the end of Supply chain all are mostly outside India leaving a limited scope for local Suppliers as only Tier 2 and Tier 3 suppliers.  

• Weak business positioning of Indian suppliers as most of the packages on offer are for small programs.

• Due to 49% equity holding restrictions, foreign players with proven technologies and capabilities are not enthused to set up manufacturing base in India

• Dilemma of holding on to the present or grab the future. India does not have cutting edge technologies in Composites, 3D printing, Engine and Avionics.

• Upfront Investment for proven Capabilities and Capacities prior to orders

• Long lead time and high cost of Imports - All Raw Materials, Chemicals, Composites, Avionics

8. Aerospace Supply Chain

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9. Conclusions

• Proactively invest in getting ready for tomorrow through collaborating and inter-connecting with your entire evolving echo system by engaging all stakeholders

• Capabilities, Capacities, Skills, Infrastructure, Process / System….

• When all dots will be connected by digitation with its own brain then what value you would bring!

• When your role is obsolete what you would do Next!