Supply Chain Management Issues in an Indian SME: A Sap-Lap Analysis

Abstract

After liberalization and globalization of the economies in modern world, survival of Small and Medium Enterprises (SMEs) have become very difficult. SMEs faces cut throat competition from bigger giants of market. To face tough competition of open global markets, SMEs must have effective Supply Chain Management (SCM) to have consistent value addition. SCM becomes becomes more effective when supply chain is coordinated and responsive. A well coordinated supply chain increases the supply chain profitability. Small and Medium Enterprises (SMEs) in India and other developing countries face problems in SCM implementation due to lack of resources and improper directions. In this paper, authors have tried to discuss SCM implementation in an auto part manufacturing Indian SME. A Situation-Actor-Process (SAP)-Learning-Action-Performance (LAP) model has been applied for this case study. The situation represents the present scenario of the organization. Actors are the participants, influencing the situation to evolve different business processes. Based on SAP, various learning issues have been analyzed which will help in identifying suitable action for improving the performance.

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