Balance Scorecard of Eel

1. State your organization’s supply chain strategy, e.g., “to provide customers with a high level of service while contributing to corporate profitability.”

Energypac engineering ltd (EEL) has pulled out all the stops to help boost power engineering business in Bangladesh. Depending on the previous year’s performance as well as new scope of business based on the market research, a targeted figure of corporate goal has been distributed to all the business units then among all the departments based on their functions. To be aligned with the corporate goal, it is necessary to bring all the departments into a common platform and set a common goal by approaching a collaborative team and balancing individual goals to ensure a great contribution to corporate profitability.[pic 1][pic 2]

To reduce the chance of projects failure EEL follows the supply chain strategy as outlined below

1. Balanced cross functional team perform their individual role to meet corporate goals.

2. Finance: Finance optimize the procure to pay cycle at the same time they make a balance between Account Receivable and payable. To get payment discount Finance make arrangement with SCM.

3. Legal: Legal will be an integrated part of the common team and strategy to achieve the corporate missions, vision, and values by playing a vital role on legal matters in a timely

manner.

4. Sales and Marketing: Sales and Marketing team use their channel to properly distribute products to meet SCM's strategy.

5. Engineering and R & D: Engineering and R & D team are the key role players of common team to decide sourcing, modeling, develop efficient scope of works and alternative planning of production to overcome potential hazards.

6. Supply Chain Management:

Procurement and Contracting: They calculate the total cost of ownership, perform different type of analysis (SWOT, PESTLE, Porter's 5 forces, trend etc.), expediting, negotiation with supplier to ensure best value to the organization.

Category Management: Category management to develop category plan along with category

of suppliers and commodities by analyzing internal and external factors, and to develop a

supplier relationship management plan so the way suppliers can add value to EEL

Inventory management: They control inventory holding cost by following EOQ (economic order quantity). They can also add value by raising a quality purchase requisition to avoid further back and forth communications which

would increase procure to pay cycle time.

Logistics: Logistics department always performing significant role to add value in SCM strategy as well to EEL. By ensuring proper shipment, optimizing transportation cost, selecting proper shipping inco-terms for L/C logistics departments playing their role.

Supply chain strategy does not exist in isolation but rather throughout an organization in a management responsibility hierarchy, because it serves all levels of operations. It is important that every operations management professional understand how supply chain strategy underscores the