SUPPLY CHAIN OF BISCUITS

ZAIN ANSARI
MGW6212000
 SUPPLY CHAIN OF BISCUITS

WHOLESALER

C&F OR DEPOTS

RAW MATERIAL MANUFACTURING DISTRIBUTION

INCOMING STORES RETAILER CUSTOMER
SUPPLIER UNIT CENTER

SUPER STORES,
RAILWAY STATIONS,
AIRPORTS,ETC

• PUSH model of supply chain is utilized where the production is initiated based on the forecast of the customer
demand.
• Supply chain is less responsive and more efficient to fulfill regular customer demands.
• The margins on each product is less thus focus is on selling maximum quantity.
• ERP and supply chain systems are used tracking the supply chain condition and making decisions on the same
 SUPPLY CHAIN OF BISCUITS
RAW MATERIAL RECEIPT AND STORAGE
• Raw material for biscuits such as wheat flour, sugar crystal, full cream, baking soda, butter, edible
vegetable oil, skim milk powder, salt, flavor, additives, etc. and packing material such as wrappers,
boxes, etc. are received from various suppliers
• These raw materials are then weighed, inspected and tested for their quality during in-warding
process and the relevant documents are checked
• After everything is OK, the materials are then stored in incoming stores
• The Flour and sugar are usually stored in silos or large containers with proper insulation
• The liquid products are stored in stainless steel containers with proper insulation and
temperature regulation
• The remaining products too are stored in shelves in store room with proper insulation,
temperature regulation
• The inventory system used is FIFO (First In First out) or FEFO (First expiry First out)
• The material in bags and packets are handled using hand carts
 SUPPLY CHAIN OF BISCUITS
BISCUITS MANUFACTURING
• The various equipment used in biscuit manufacturing factory are Dough mixers, molding rollers and cutters,
laminating machines, disk sprayer, baking oven, cooling conveyor, stacking machine, packing machines, etc.
• Demand forecast is used to make manufacturing decisions
• Flour, sugar and other ingredients are first mixed in a mixing bowl according to the company specific
procedure
• Various metering units are used to ensure accurate quantities of raw materials are mixed
• The dough is then fed to the dough sheeters through hoppers where the dough are passed through various
rollers to form a sheet as per the type of biscuit to be produced
• The tough is then formed and cut to various shapes and sizes
• The biscuits then pass through gas fired ovens having multiple heating zones on a conveyor where they are
baked to form biscuits
• These hot biscuits are then sprayed with oils and various flavoring agents to produce desired flavored
biscuits as per company procedure
• These biscuits are then passed to the cooling bed through conveyors for proper drying and cooling
 SUPPLY CHAIN OF BISCUITS
• After cooling, the biscuits are then passed to stacking unit where they are properly counted and
inspected.
• The stacked biscuits are packed into wrappers and are grouped into cartons ready for distribution
• Quality checks are conducted at various stages of manufacturing to ensure that only top quality
biscuits are dispatched
STORAGE AND DISTRIBUTION
• The biscuits are then stocked and are weighed on the pallet such that each pallet has the same
flavor biscuits to ensure easy inventory management
• The pallets are then stored in small in-house warehouses ready for dispatch
• Hand carts are generally used to handle the pallets in these warehouses
• The pallets are then transported to and intermediate locations such as depots (for Parle-G) or by
C & F agent location (for Britannia) using either trucks or tempos. This stage are omitted by some
companies
• The pallets are then transported to distribution centers present throughout the country
• The distribution center performs the function of fulfillment of the requirement of the
wholesalers, retailers and customers by maintaining the stock of the biscuits
 SUPPLY CHAIN OF BISCUITS
• FIFO and FEFO method are used for inventory management in distribution centers and
the materials are usually handled by forklifts or handcarts
• The biscuits from distribution centers are then provided to wholesalers, retailers,
shopping centers, etc.
• Fixed Reorder quantity system is used for inventory management for each SKU at
warehouse/distribution centre/wholesale/retailer wherein the reordering process is
initiated when certain minimum stock is reached barring the safety stock
• The above units help provide the biscuits to people in every city, village no matter how
remote they are
• The customers then buy from the above sources