Postponement strategy in supply chain

June 10, 2006
By sinha

Postponement strategy in supply chain refers to the postponing the value addition process to the last step in the supply chain. For e.g. Asian Paints has 1000s of SKUs and its literally impossible to store all the SKUs in all of their retail stores.
Basically, Asian Paints postpones the *coloring* part to last stage and hence any dealer/retailer when they order a color, can receive the paint within a days time!!

I was very impressed of Zuari’s furniture – They too follow a similar strategy.
.. All of their furnitures are to-be-assembled only
.. The size of nuts/bolts are similar across all the furnitures.. – so that they need not invest a lot in training their employees.
..
So when I ordered for a TV stand, it took them only 15 minutes to configure it and deliver!
Life in a fast lane?!!

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3 Responses to “ Postponement strategy in supply chain ”

  1. OnlyOne on January 26, 2006 at 10:01 pm

    I chanced upon your blog, its very interesting especially the post “Simple things that make life worth living!! “…..and I have a feeling we might have known each other……Let me put it this way…we definetely know each other..Take a guess!!

  2. Ashish on January 27, 2006 at 11:32 am

    have no idea…!!..
    why dont u give me some hints…!!

    Ashish

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