CONTENTS. List of Abbreviations List of Tables List of Figures xi Chapter I Introduction

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1 CONTENTS Page No List of Abbreviations List of Tables i vii List of Figures xi Chapter I Introduction 1.1 Introduction Definition of key terms Statement of the research Problem Scope & significance of the Study Objectives of the study Hypotheses Research design Sample design Tools employed for data collection Period of the study Statistical techniques used Limitations of the study Chapter scheme 23 Chapter II Retailing in India An Overview 2.1 Introduction Key players in the Indian retail sector Different retail store formats in India 30

2 Chapter III Vendor Managed Inventory An Overview 3.1 Introduction Classification of inventory based on functionality in the production process Components of inventory costs Reasons for underinvestment in inventories Mathematical models of inventory management Vendor Managed Inventory Bullwhip Effect Models of VMI Global Scenario of VMI Radio Frequency Identification Devices (RFID) Key application features of RFID RFID and its role in reduction of Bullwhip effect Global applications of RFID in retail & SCM Applications of RFID in Indian retail & SCM 92 Chapter IV Review of Literature 4.1 Introduction Studies on simulations and implementations of VMI Studies on the effects of information sharing and supply chain relationships in VMI systems Studies on reduction in Bullwhip effect due to VMI implementation Studies on RFID technology in VMI implementations 108 Chapter V Research Methodology 5.1 Research Design 111

3 5.2 Assumptions of the case study method Limitations of case study method Tools employed for data collection Statistical techniques used Reliability and Validity Period of the study Limitations 116 Chapter VI Analysis and Interpretations 6.1 Sample Distribution based on the position of the firm in the supply chain Sample Distribution based on the size of the organization Impact of usage of IT in inventory management functions Technologies used to synchronize with other supply chain partners Irregularities in the retail supply chain Effects of RFID implementations Perceptions about VMI/RFID implementations in Indian retail sector Experiments with VMI/RFID in Indian industry Indian Automobile industry Case studies of implementations in Indian retail sector Subhiksha Retail Shoppers' Stop Future Group Marico Industries 202 Chapter VII Summary, Findings, Recommendations & Conclusion 212 Bibliography 236 Appendix A Appendix B

4 List of Abbreviations ABC ADM AIMA ANOVA APO ASM BMI BPR BSE B2B CEO CNBC CPFR CR DC DCSL DDLT DHL Always Better Control Assistant Department Manager All India Management Association Analysis Of Variance Advanced Planning & Optimization Assistant Store Manager Business Monitor International Business Process Reengineering Bombay Stock Exchange Business to Business Chief Executive Officer Consumer News and Business Channel Collaborative Planning Forecasting & Replenishment Continuous Replenishment Distribution Centre DCM Shriram Consolidated Limited Demand During Lead Time Dalsey Lynn Hilblom

5 DIPP DoD DSS EANI ECR EDI EMI EOQ EPC EPOS ERP EVA E & Y FDI FEMA FKS FMCG FMS FSCS GDP Department of Industrial Policy and Promotion Department of Defense Decision Support System European Article Numbering International Efficient Consumer Response Electronic Data Interchange Equated Monthly Instalments Economic Order Quantity Electronic Product Code Electronic Point Of Sale Enterprise Resources Planning Economic Value Added Ernst & Young Foreign Direct Investment Foreign Exchange Management Act Future Knowledge Services Fast Moving Consumer Goods Flexible Manufacturing Systems Future Supply Chain Solutions Limited Gross Domestic Product

6 GHz GPS GRN Giga Hertz Global Positioning System Goods Received Note GS1 Global Standards 1 HUL IBEF ICP IDG IDS IEEE IIM IPS IT ITC JIT KHz KPMG LLC LT L & T Hindustan Unilever India Brand Equity Foundation International Consumer Products Corporation International Data Group Intrusion Detection System Institute of Electrical and Electronic Engineers Indian Institute of Management Intrusion Prevention System Information Technology Indian Tobacco Company Just In Time Kilo Hertz Klynveld Peat Marwick Goerdeler Limited Liability Company Lead Time Larsen & Toubro

7 MBQ MCC MIDAS MI-NET MIT MHz MRO MS M&M M & S MUL NASSCOM NCR OEM PDA POS P & G QR QRL QSP Maximum Batch Quantity Metro Cash & Carry Marico Industries Distribution Automation Software Marico Industries Network Massachusetts Institute of Technology Mega Hertz Maintenance, Repair and Operating Microsoft Mahindra & Mahindra Marks & Spencer Maruti Udyog Limited National Association of Software and Service Companies National Capital Region Original Equipment Manufacturer Personal Data Assistant Point Of Sale Proctor & Gamble Quick Response Quick Response Logistics Qualified Supplier Program

8 RFID ROM RTV R/D/C SA SAP SBU SCR SCM SIAM SKU SONA SPJIMR SPSS SMI SS STN STO TQM Radio Frequency Identification Devices Retail Outlet Manager Return To Vendor Retailer/Distributor/Consumer Sociedad Anonima Systems Applications Processes Strategic Business Unit Synchronized Consumer Response Supply Chain Management Society of Indian Automobile Manufacturers Stock Keeping Unit Service Oriented Network Architecture SP Jain Institute of Management & Research Statistical Package for Social Sciences Supplier Managed Inventory Safety Stock Stock Transfer Note Stock Transfer Out Total Quality Management

9 TREAD UAE UCC UK UPS US USD VLAN VMI V/S/M WAAS WIP 3PL 4PL Transportation Recall Enhancement Accountability Documentation United Arab Emirates Uniform Code Council United Kingdom Universal Parcel Service United States United States Dollar Virtual Local Area Network Vendor Managed Inventory Vendor/Supplier/Manufacturer Wide Area Application Services Work In Progress 3 rd Party Logistics 4 th Party Logistics