Karnataka Engineering Company Case Study Essay Sample
We would wish to show my deep and sincere gratitude to Professor Dr T A S Vijayaraghavan.
His counsel & A ; learning hold given us the cognition to non merely understanding the constructs of SCM. But besides how to implement those into pattern. We have tried to utilize his instructions in this work. His in-depth cognition. sense of wit. forbearance and enterprise to learn has been priceless for us for which we are thankful and honored.
We are besides grateful to our co-workers. who have each contributed in their ain manner to the patterned advance of this instance survey.
Overview of Karnataka Engineering Company ( KEC )
? Company entered the 2 –Wheeler industry in 1981 with Moped production.
? In 1983 the scooter production.
? The fabrication program is in Raichur.
? KEC has 19 subdivisions spread all over India.
? Operating disbursals of a subdivision is estimated to be Rs 17000 per month.
? Minimum throughput that would warrant puting up of a subdivision in any province would be Rs 4. 25 Lakh per month. This translate into 78 Mopeds or 33 Water scooters per month or any other combination.
? Marketing office is located in about every province.
? Transportation of Mopeds & A ; scooters are by specially adapted trucks with a capacity of either 80 Mopeds or 50 scooters or combination of both. This primary transit is organized by the cardinal selling officer of Raichur.
Distribution in Andhra Pradesh
? There are two branch warehouses at Adoni & A ; Mahbubnager.
? These subdivisions location were selected. as these were the first major towns in AP
? The selling office is situated in Hyderabad.
? Hyderabad office collates the orders & A ; issues instruction to Adoni & A ; Mahbubnagar for secondary dispatchs.
Some Figures & amp ; Data. .
? Monthly avg. sale in Jan-Jul 1988 in Andhra Pradesh was Mopeds 1925 & A ; Scooters 288. .
? AP part in Jan-Jul 1988 is around 5. 3 % of KEC’s sum Moped sale & A ; 3. 6 % of entire scooters gross revenues.
? Sale in AP during this period is around 14. 33 Million PA.
? One scooter was taken every bit tantamount to 1. 6 moped units.
? CST consider is 4 % .
Questions for Discussion.
At what volume is the gap of a warehouse in a province Justified chiefly on the evidences of the 4 % CST for minutess across the provinces.
How many warehouses do you believe are required for distribution of KEC’s merchandise in AP? What would be the candidate locations of the warehouses be? What would be the standards on which to choose the campaigners?
Determine the optimum choice of the warehouses & A ; the best allotment of the demand points of the selected warehouses?
What are the best picks for shipment size from warehouses to demand points? Given size. what routing would you urge for a typical despatch tally?
By utilizing the Logware package we will foremost look into how many warehouses are optimum. & A ; what will be the best allotment to each warehouse.
The Input for Logware will be
1. The co-ordinates in ( X. Y ) of the Places in Andhra Pradesh.
2. Moped off take & amp ; scooter offtake equivalent of Moped offtake ( 1. 6 times )
3. Rate Rs per kilometer.