Snapdeal Case Study

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Area name - Operations

Introduction
Flipkart started operations on the consignment model. They used to purchase goods from suppliers on the basis of orders placed online. Later they adopted warehouse model. Now Flipkart has their own warehouse and they manage their own inventory. Inventory is determined on the basis of sales forecast. Sachin Bansal says - “Nearly 60 to 70 per cent of deliveries take place through our own network,” .He thinks this model provides better control over the entire logistics management piece.

Various issues are faced by Flipkart on operational front. Most critical of them being delay in deliveries and faulty products. Flipkart wants to resolve these operational issues by strengthening their supply chain. Binny
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They are able to do it using an advanced platform which merges logistics subsystems with cutting-edge online and mobile payment models. This platform vast range of products including thousands of national, international and regional brands.
Snapdeal.com has a network of more than 20,000 sellers which serves 20 million-plus members. In India, one out of every six Internet users uses Snapdeal. This is possible by the sophisticated technology such as Aerospike flash and DRAM optimized in-memory NoSQL database. Aerospace is able to process real-time big data which enables the user to have up-to-moment updates about the availability, price, rating of the product. This way consumers are able to take well informed and convenient buying decision.

The Demands of Dynamic Updates Snapdeal’s business and platform model is based on an innovative system which can accommodate updates from both sellers and buyers. The Snapdeal.com platform gives the facility of listing products for sale on the site, managing inventory, and making pricing changes in real-time based on the marketplace events. Let’s take an example of High volume. If a pair of shoes sells every 30 seconds, it will signify that thousands of sellers are dynamically adjusting price. This will result in Snapdeal’s inventory and pricing management system processing more than 500 writes per
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With every page click, Snapdeal.com can collate all the updates from buyers and sellers and display the most relevant products. Also the site can rank all the sellers based on their product offering, pricing, and delivery time and customer satisfaction. The challenge for Snapdeal is to maintain its real-time performance despite its accelerating growth.

Some of the best practices followed in Supply chain and logistics are as

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