Supply chain management in handloom sectors– a review

Abstract

The supply chain, which is also referred to as ‘logistics network’, consists of suppliers, manufacturing centers, warehouses, distribution centers and retail outlets, as well as raw materials, work-in-process inventory and finished products which flow between the facilities. Supply Chain Management may be defined as the process of planning, implementing and controlling efficient and cost effective flow of materials, in-process inventory, finished goods and related information from point-of-order to point-of-consumption, for the purpose of conforming to customer requirements. The basic idea of supply chain management is nothing new and the practice of supply chain management is guided by some underlying concepts that have not changed much over the centuries. On the other hand, handloom sector is one of the largest unorganized rural based economic activities after agriculture in the country. It is largely decentralized and the weavers are mainly from the vulnerable and weaker sections of the society. Production of hand woven fabric from India constitutes 95 per cent of global production and during the financial year 2017-2018 the export of handloom products from India was valued at US$ 353.90 million. Despite of having cultural and economic importance, handloom sectors suffer from perennial problems of weak infrastructure, inadequate quality and availability of raw materials at right time and regular prices, poor/fragile supply chain systems and ineffective marketing and sales practices.