MK0010- Sales, Distribution and Supply Chain Management

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ASSIGNMENT

DRIVE	SPRING 2014
PROGRAM	MBADS (SEM 3/SEM 5) MBAFLEX/ MBAN2 (SEM 3) PGDMMN (SEM 1)
SUBJECT CODE & NAME	MK0010- Sales, Distribution and Supply Chain Management
BK ID	B1721
CREDIT & MARKS	4 Credits, 60 marks

1 When one member of distribution channel tries to maximize its profits at the expense of rest of the members, it will create conflicts, resulting in the decline of profits. To avoid these conflicts, now retail firms have started forming verticalMarketing systems (VMS). Explain the three types of VMS through which goods and services are usually distributed to customers.

Answer:-Definition of VMS

A Vertical Marketing System (VMS) is a system in which almost all the membersof distribution channel such as manufacturers, wholesalers and retailers worktogether to satisfy human needs and wants by facilitating the smooth flow ofgoods and services from manufacturer to the ultimate consumer.

In traditional marketing system, manufacturers, wholesalers and retailersare separate entities who try to maximize their own profits. The philosophy behind developing vertical marketing system is that when one member of distributionchannel tries to maximize its profits at the expense of rest of the members, it will create conflicts, resulting in the decline of profits for the whole channel ofdistribution. To avoid these conflicts, now

2 Define Aggregate Planning and its strategies to meet demand and supply.

Answer:-Definition of Aggregate planning.

Aggregate planning reflects the operational decisions that must be madein the short to intermediate time horizon to ensure that the operations functionhas the resources needed to meet customer needs and market demand. Itencapsulates the requirements of both tactical and operational planning.Forecasting is a very important component for effective aggregate planning.

Strategies used in Aggregate planning

Aggregate planning reflects the operational decisions

3 An organization needs to be extremely cautious in making investments in various types of inventories. The extent of control required to be maintained on all items is not the same. Explain some important tools of Inventory management like ABC analysis, Just-In-Time & Economic order quantity model.

Answer:-Definition of Inventory and Inventory Management

The term ‘inventory’ means any stock of direct or indirect material (raw materialsor finished items or both) stocked in order to meet the expected and theunexpected demands in the future. A basic purpose of inventory managementis to control inventory by managing the flows of materials. It sets strategies andrules to examine levels of

4 Explain the SCOR model with a diagrammatic representation.

Answer:-The SCOR model is used to understand simple or complex supply chains througha common set of terms. Consequently, different industries can be related toeach other to interpret any supply chain.

SCOR is based on five unique management methods. These are: Plan,Source, Make, Deliver and Return.

5 Explain the challenges faced by International Sales Manager.

Answer:-The challenges faced by sales managers while doing business abroad

are as follows:

(i) Language Barriers: One of the foremost challenges faced by internationalsales managers is the language barrier. Every manager would like to goto abroad and serve organizations but due to language differences, theyare not able to produce results. It happens because you being a salesmanager you may be capable of doing your job but your customers don’tunderstand what you want to communicate. Therefore, a company for international sales positions always looks for linguist (who is good atspeaking or learning

6 Describe the supply chain Benchmarking Procedure.

Answer:-Definition of Benchmarking.

Benchmarking is systematic and continuous measurement process: aprocess of continuously measuring and comparing an organization’sbusiness processes against process leaders anywhere in the world togain information which will help the organization to take action to improve its performance.

Procedure for supply chain benchmarking

There is a procedure for defining the methodologies and metrics, achievemilestones and set comparisons for benchmarking. At the

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