1.
Saswati Tripathi
– Associate Professor, Indian Institute Of Foreign Trade (under Ministry Of Commerce), Kolkata Campus
2.
Krishnamachary Rangarajan
– Associate Professor, Indian Institute Of Foreign Trade (under Ministry Of Commerce), Kolkata Campus
3.
Bijoy Talukder
– Associate Professor, Indian Institute Of Foreign Trade (under Ministry Of Commerce), Kolkata Campus
Abstract
The petroleum industry comprises of activities, which are geographically disbursed for exploration, procurement, transformation,
storage, and distribution with transportation network linking facilities through which products flow. The supply chain in the petroleum
industry covers a network of processes including placing order for raw material, in-bound logistics and delivery, conversion of raw
materials to semi-finished and finished products and their storage, delivery to intermediate facilities, and flow to end customer
through distribution channels. The challenge in this supply chain is not only due to the large number of activities, but also due
to their dispersed execution which requires a high degree of coordination among all players, leading to evolve a systematic
technique for measurement, analysis and improvement in the performance. The sample analyzed has clearly demonstrated
that big companies need to rationalize on supply-chain-asset productivity. It demands operational strategies encompassing the
logistics and distribution planning mainly for the demand side, which attracts huge investment in the assets and accounts for high
pipeline stock. The operational strategies of the companies should be able to follow an agile inventory strategy to storage, which
incorporates wireless technology, inventory scenario along with orchestration of demand, and supply data across the supply chain.
Keywords M110: Supply Chain Management, Supply Chains, Logistics, Inventory Management (Based on JEL Classification)
