Canon In­dia sets up the SCM bar

Ashutosh Varsh­ney, Se­nior Di­rec­tor, Lo­gis­tics & Gen­eral Af­fairs Divi­sions, Canon In­dia, shares how Canon is set­ting the bar high by aid­ing all the com­plex­i­ties of sup­ply chain man­ag­ment.

Cargo Talk - - Front Page -

What is your view on the sup­ply chain land­scape in In­dia?

Sup­ply Chain Man­age­ment (SCM) is the back­bone of op­er­a­tions in any or­gan­i­sa­tion. And, sup­ply chain in In­dia is wit­ness­ing a sea change; ware­houses are get­ting equipped with hi-end tech­nolo­gies and au­to­ma­tion as well as get­ting big­ger in size ow­ing to the cen­tral­i­sa­tion of ware­houses. We would see more or­gan­ised play­ers com­ing in the space and this would surely aid in stream­lin­ing the sup­ply chain land­scape in the coun­try.

What are some of the global best prac­tices adopted?

Within In­dia, we are work­ing with best in class ser­vice providers who can of­fer ser­vices by which we are able to send prod­ucts faster, safer and in a more sat­is­fy­ing man­ner to the cus­tomers.

Which tech tools are de­ployed by Canon In­dia to man­age sup­ply chain?

In­for­ma­tion shar­ing re­quires firms to ex­change strate­gic sup­ply chain in­for­ma­tion. Canon has implemented In­te­grated In­for­ma­tion Sys­tem (IIS) like Elec­tronic Data In­ter­change Sys­tem (EDIS). EDIS is de­signed for Canon’s sup­pli­ers, in which quo­ta­tion or or­der data can be trans­ferred be­tween Canon and sup­pli­ers along with Canon’s ser­vice providers, where vi­tal in­for­ma­tion about ship­ments can be ex­changed. IIS plays a piv­otal role in Canon’s sup­ply chain man­age­ment, as it al­lows firms to in­crease the vol­ume and com­plex­ity of in­for­ma­tion which needs to be com­mu­ni­cated with the in­ter-trad­ing part­ners. It also al­lows firms to pro­vide real-time sup­ply-chain in­for­ma­tion, to mul­ti­ple stake­hold­ers. In­creased ac­cess to real-time in­for­ma­tion en­ables Canon to syn­chro­nize its in­ven­tory level, de­liv­ery sta­tus, and pro­duc­tion plan­ning and sched­ul­ing which en­ables firms to man­age and con­trol its sup­ply chain activities. It also fa­cil­i­tates the align­ment of fore­cast­ing and sched­ul­ing of op­er­a­tions be­tween Canon and its sup­ply chain part­ners, al­low­ing bet­ter in­ter-firms co­or­di­na­tion. Ex­change of in­for­ma­tion has rev­o­lu­tionised most of the com­pany’s op­er­a­tions lead­ing to a greater vis­i­bil­ity of tech­nol­ogy and re­sources.

In terms of con­sis­tency, of ser­vices pro­vided by its agents glob­ally, syn­chro­nised dis­tri­bu­tion sys­tem, and time­li­ness to mar­ket, through re­li­able pro­duc­tion plan­ning, or­der­ing and dis­tri­bu­tion sys­tems Canon is ben­e­fit­ing its part­ners through qual­ity as­sur­ance. How­ever, the com­pany needs to care­fully con­sider which in­for­ma­tion to dis­close and ex­change among its sup­ply chain part­ners. We work in ERP pack­ages; right from our par­ent com­pany to our chan­nel part­ners as well as re­tail­ers, are all con­nected elec­tron­i­cally. The Elec­tronic Data In­ter­change (EDI) hap­pens fre­quently and be­cause of this, the en­tire value chain gets to know the ex­act sta­tus of the or­ders.

Canon’s lo­gis­tics di­vi­sion, fo­cusses on trans­port­ing prod­ucts safely and on time, pro­vides ad­vanced lo­gis­tics ser­vices with high cus­tomer sat­is­fac­tion rates. We achieve this by se­lect­ing ship­ping routes and part­ners and by en­sur­ing pack­ing qual­ity. The sys­tem, which com­pre­hen­sively man­ages in­for­ma­tion span­ning and en­ables us to promptly re­spond to fluc­tu­a­tions in mar­ket sup­ply and de­mand. Ad­di­tion­ally, it has short­ened over­all ship­ping lead times.

What are the com­plex­i­ties in­volved in the value chain at Canon In­dia?

Hav­ing com­pleted 20 years of our in­ter­ven­tion in the coun­try, we have a vast prod­uct port­fo­lio. At Canon In­dia, we mar­ket a com­pre­hen­sive range of over 200 so­phis­ti­cated and con­tem­po­rary dig­i­tal imag­ing prod­ucts in the coun­try. These in­clude dig­i­tal copiers, mul­ti­func­tional pe­riph­er­als, fax-ma­chines, inkjet and laser print­ers, scan­ners, all-in-ones, dig­i­tal cam­eras, dig­i­tal cam­corders, dye sub photo print­ers, card print­ers and ca­ble ID print­ers. We are oper­at­ing in very volatile seg­ments, such as of­fice au­to­ma­tion and con­sumer elec­tron­ics wherein tech­nol­ogy changes very quickly. We have photo copiers which go into of­fices, and we have prod­ucts for con­sumers, like cam­eras and print­ers. The chal­lenge is that on one hand, we have dis­trib­u­tors who do stock­ing and sub­se­quent sales. That means the ship­ment size for such dis­trib­u­tors would be much big­ger. On the other hand, which are our own brand stores where, walk-in cus­tomers would ask for the lat­est model of high-end cam­era, at a very short no­tice. So, there lies the com­plex­ity of man­ag­ing big ship­ments to man­ag­ing small, but highly time bound ship­ments. Our un­der­ly­ing mantra is to de­light our cus­tomers by making the de­sired prod­ucts avail­able as per their ex­pec­ta­tions, hence, we con­sider cus­tomers’ pref­er­ences and act ac­cord­ingly.

Canon has implemented In­te­grated In­for­ma­tion Sys­tem (IIS) like Elec­tronic Data In­ter­change Sys­tem (EDIS)

Ashutosh Varsh­ney Se­nior Di­rec­tor, Lo­gis­tics & Gen­eral Af­fairs Di­vi­sions, Canon In­dia

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