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8/10/2019 Sivakasi-Matches & Fireworks (1)
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SUPPLY CHAINMANAGEMENT
By
KARTHIGEYAN.S -13UTB13
RAKESH KUMAR .G -13UTB48SATTANATHAN.S -13UTB49
GUNA SEKAR. I - 13UTB46
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Geographical Background
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Sivakasi
Situated in Virudhunagar district
Has an arid and hot climate
Known for its burgeoning Safety Matches and
Fireworks Industries
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Geographical Products: Matches &
Fireworks
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The Safety Matches Industry in
Sivakasi
First Match Unit established in 1923
The South India Lucifer Match Industry
Highly labor intensive and Less technologyintensive
60% of Indias production
30000 directly employed
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Product Line - Match Industry
Safety Matches
Strike-Anywhere Matches
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The Role of Related Products in the
Supply Chain of Match Industry
Sourcing - Red Phosphorus, Matchwood
Production - Boxes and Match sticks
Distribution and POS - MatchboxesUsed invariably throughout households,
temples, eateries and small-scale pawn shops
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The ProducDon Process
Arranging the Match Sticks
Stacking of match stick racks
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The ProducDon Process (Contd.)
Dipping Process
Match box packaging and Coating
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The Packaging Process
Manual Packaging methods
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The SCOR Model
PLAN
SOURCE
MAKE
DELIVER
RETURN
Demand/Supply Planning
Inventory Management/Supplier
Networks, Agreement Performance
Production/Packaging and
Release
Order Management/
Warehousing/Logistics
Returns/Management of business
rules/Regulatory Requirements
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The SCM Flow in Match ProducDon
Arranging &
Drying
Point of
Sales
Packing &
Distribu4on
Dipping
Match box
Coa4ng
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Costs
The cost of matches typically ranges from
Re.1 - Rs. 10/-
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The Fireworks Industry in Sivakasi
90% of Indias fireworks production
Valued at Rs. 800-1000 crores
Growth rate at 10% per annum
Roughly 460 factories employing 40,000
workers
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Product Line - Fireworks Industry
Noise
Light
Smoke
Float
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Major Products
The major products are :
Sparklers
Sky Crappers
Ground crackersFlower Pots and Chakkars
MulD Sound Crackers
BombsTwinkling Stars
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The Role of Related Products in the
Supply Chain of Fireworks Industry
Sourcing - Chemicals (Magnesium,
Magnalium, Sulphur, Ammonium nitrate,Barium nitrate, Charcoal, Turpentine), Boxes
Production - Chemicals, Threads
Distribution and POS - Firecraker boxes
Primarily used in celebrationsSeasonal demand
Celebrate birth and death :-)
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ProducDon Process
Varies for each type of firework
Usually involves:
Mixing, Rolling, Drying, Threading, Testing
and Packaging
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The ProducDon Process (Contd.)
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The SCM Flow in Fireworks Industry
Sourcing
Retailers Produc4on
Distribu4on Packaging
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The SCOR Model
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The SCOR Model
PLAN
SOURCE
MAKE
DELIVER
RETURN
Demand/Supply Planning
Inventory Management/Supplier
Networks, Agreement Performance
Production/Packaging and
Release
Order Management/
Warehousing/Logistics
Returns/Management of business
rules/Regulatory Requirements
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COMPETITORS
Since it is a vast market in that geographicalarea the numbers of competitors are quite high.
The Major Competitors are :
Standard fireworks
Anil fireworks
Cocktail
Peacock Crackers
Ayyan
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Costs
Red Phosphorous - Rs. 750/Kg
Turpentine - Rs. 1400/litre
Ammonium nitrate - Rs. 30/Kg
Barium Nitrate - Rs. 40/Kg
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Cost
The cost of fireworks ranges from
Rs12 - Rs 5000/-
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Thank
YouTuesday, 3 June 2014