Simplicity of SCM - all nuances simply explained - Part - 2 | Mr. Ajay Saraswat

In this video, Mr. Ajay Saraswat, an instructor at JBS Academy Private Limited talks at great length about the first learning curve for the industry which he terms as milestone no. 1 which was given by US automotive company Ford who realized logistics as major function and integration. Ford owned iron ores and timber yards just to manufacture a car. The lead time to make a fully finished black beauty car from iron ore was only 81 hours because of the refined processes. But with time how the competition will start between ford and General Motors he explains it very well.

Further Mr. Saraswat tell us about how India’s logistics journey. While on the global front there was a war between General Motors and ford, in India post-independence we had a prevailing system of LPG (license Permit Raj and Government control). Government had a tight control on everything. Production was there for daily needs. There was a huge demand panting up from the population whereas there was no production in place so whatever that was produced they try to dispatch it whether there is need or as per the need which basically pushed the material inside the market.