Harnessing Supply Chain Efficiency Through Information Linkages

Abstract

The Indian retail industry majorly constitutes of small retailers, comprising of approximately 12 million small shopkeepers and increased competition has made companies understand the significance of this unorganized small retail sector. Most companies feel that coordinating their downstream supply chains is critical for long term growth and sustainability. The paper examines the supply chain coordination amongst retailers, distributors, logistics providers, customers, and major Fast Moving Consumer Goods (FMCG) multi-national companies in India. The findings confirm that supply chain integration, information sharing, and supply chain design are being given proper attention by FMCG companies. They appreciate the strategic value of information sharing for establishing collaborations with the small retailers for effective performance of supply chains. Even in the fragmented, ill-defined, unorganized, and disjointed small retail sector in India, information sharing between supply chain partners is given precedence. Lack of technological infrastructure does not deter MNCs from establishing information linkages with small retailers and harnessing it for supply chain efficiency.