The logistics and supply chain operations in Siyaram Silk Mills Ltd are centered on effectively managed IT operations. Being on an agile platform, IT is bridging the gap between procurement to filling supply chain. Server, data and process optimization are helping us effectively manage the supply chain process. Process integration of logistics and supply chain operations across all the locations of our manufacturing units, warehouses and corporate offices have helped the organization in bringing efficiency in the operations. We use ERP system to gain transparency and visibility of data across all locations.
Information availability a key to successful operations :-
In today’s scenario, availability of right information at the right time to the right person is of paramount importance. Siyaram uses MPLS-VPN network to seamlessly integrate its information flow across locations to achieve this objective. Its plants at Tarapur, Silvassa, Daman, Bhiwandi & offices in Mumbai are connected to each other on this network with a built-in 1:1 redundancy. Also this is supported by internet leased lines at selected locations, which help in augmenting information flow.
Siyaram’s forsight in investment in state-of-art technology has helped it in managing its growth with same infrastructure that it laid in the year 2006. The turnover has since trebled - from Rs 450 crores in 2006 to Rs 1500 crores in 2015. It has added new lines of businesses – brands like Siya and Cadini, set up new plants – at Tarapur and Daman and grew its operations in existing businesses – all supported by robust and agile IT infrastructure.
The key factor in managing this growth has been better management of logistics and supply chain. From generating purchase orders automatically to monitoring supplies, managing production resources across multiple locations & ensuring that they are adequate supported by timely inputs, capturing customer’s requirements and taking actions to fulfill them in timely and efficient manner – all form the backbone of the ERP structure implemented in Siyarams’. In terms of volume, this backbone handles about 12000 tonnes of raw material supplies & about seven crore meters of fabric on an annual basis (figures based on published accounts for the year 2014-15).
All this has been made possible through the availability of the key input – information. Siyaram not only uses its ERP and legacy systems to effectively make use this input, but also sieves thru nuggets of valuable pieces of information through the use of its Business Intelligence (BI) tool.
Despite the achievements, the Company is aware that there are many things that are yet to be done. There is still a room for improvement in operations, there are still untapped areas which are yet to be explored, new processes yet to be tried, new ways of working yet to be adopted, new technological initiatives yet to be explored – challenges that are manifold but not unsurmountable.
Ever-changing market dynamics require the organization to be adaptive & ever-responsive to its customer’s needs. It has to have an ear in capturing trends, in correctly deciphering these into actionable inputs & in garnering & putting to use the available resources -- form the key elements of challenges faced on this front.
Internal challenges also have to focus on process optimization with the intent of reducing the time from conceptualization of product to its availability for the end consumer, more popularly know as “Mind-to-Market” time gap. Effectively, it centres around improving the effectiveness of supply chain.
Betting on future technology
Adoption of right technology has been an ever persisting challenge for all businesses & Siyaram is no exception to this. While the last decade was dominated by the traditional yet technologically developing solutions like ERP and logistics and SCM software, going forward, Mobility and Analytics are going to be the key differentiators which will differentiate wheat from the chaff & men from the boys.
Today’s mobile devices have become portable computers & have enormous ability to process information. The ability to capture right data, process it into meaningful information & effective use of these inputs in taking right decisions will help organizations to be on the forefront in the business segments they are in. Siyaram has recognized this & is working on building its presence in digital-mobile forums. It is also working steadily in augmenting its analytics capability & has future plans to look into areas like Social Analytics & Cloud Computing.
It is felt that careful evaluation and adoption of right technological solutions will help Siyarams’ in achieving its long term growth objectives.
Authored by: Surendra Shrotriya, Assistant Vice President, IT & Costing, Siyaram Silk Mills Ltd.