Emami
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Supply Chain Management of Emami Limited With Special Reference to “Analyzing the transporter Demand, Problem and Area wise Sales Details”
Ankit Kumar CUJ/I/2010/IMBA/03 Centre For Business Administration
INTRODUCTION
Founded in 1974 & founders are Mr. R S Agarwal and Mr. R S Goenka (Joint Chairman).
Emami Limited is an Indian producer of fast moving consumer goods (FMCG), such as cosmetics, health and baby products.
The company is based in Kolkata.
Emami grew 29.1% in 2011-12 where as India’s FMCG industry grew 14.8% only.
Emami’s quality products not only have a pan India presence, but also have a deep imprint in over 60 countries across the world including GCC, UK, Sri Lanka, Bangladesh, Nepal, African and the CIS countries.
COMPANY DETAILS
Emami turnover is about Rs.2000 crore, the group has business interests in FMCG, paper , writing instruments, edible oil and cultivation, bio-diesel, hospitals, contemporary art, pharmacy, cement, real estate and retail.
Emami owns Famous Brands like Fair and handsome, Boroplus, and Navratna Oil.
The domestic sales and distribution division directly covers 4.20 lac outlets all across the country along with an additional 2100 modern retail outlets.
Emami have its 25 brands- Baby Massage Oil, Boroplus Antiseptic Cream, Boroplus Prickly Heat Powder, Fair and Handsome, Hair Life, Himani Fast Relief, Malai Kesar Cold Cream, Mentho Plus, Navaratna Cool Talc, Navaratna Oil, Navaratna Lite, Navaratna Extra Thanda, Sonachandi Amritprash, Sonachandi Chyawanprash
Task-1
Supply Chain Management
The supply chain encompasses all activities involved in in transformation of goods from the raw material stage to final stage when goods and services reaches the end customers.
Includes not only suppliers, manufactures, customers but also transporters, warehouses and other intermediaries like agents C & F agents.
SCM involves- Material Flow, Finance Flow and Information Flow
Its tactical intents are sourcing contracts, production decision, inventory decision, transportation strategy and focused on customer demand
Its operational intends are production scheduling demand planning and forecasting outbound operation and order processing
Supply Chain Of Emami
For years, Emami had been using Fox Pro based systems for handling logistics.
By 2012,the company’s distribution network had grown, 7 manufacturing units, 6 mother warehouses, 32 Depots, 5 regional sales offices and over 3500 distributors and dealers.
Initiated Project Swadesh to facilitate distribution strength by covering 8200 villages directly across the country
In addition, about 100 trucks were dispatched daily. Due to distribution pressures rising, technology upgradation was necessary therefore company initiated automation of its outward logistics system in April 2004 with its primary distribution system.
Robust Distribution Network
Task-2
Transporter Demands, problem and its solution
In our survey I have found that most of the transporters are demanding increase in current rate because of the increase in price of Diesel, labor cost, maintenance cost and taxes.
Problems
Naxal/political Band Lack of manpower Shortage of Vehicles Vehicles Breakdown Delay from Depots in delivery of goods Traffic Jam No-Entry Timing Uncertain Accidents Less amounts of goods Delay in Payment Poor Infrastructure Delay in Billing and loading Route affected by M.C.C
Solution • • • • • • • • •
Administration should provide some level of security Goods should reach to the departure point before 4 Pm Backup plan for manpower Rate should be increased by certain % Proper maintenance of vehicles Payment should be made on time Timely entry and exit of vehicles Infrastructure should be improved No Entry timing should be reduced
Others Transporter's Survey Details
Other transporters in market are willing to work for the Emami Limited at the Market rate.
These transporters are also facing the same problem which existing transporter of Emami is facing.
I have found in my survey that some of the transporters are better than the existing transporter of Emami in terms of resource and manpower.
Some of transporter left the service of Emami due to delay in payment and less amount delivery order.
Task-3
Top 3 Station wise sales report of last 3 months. Month
1st Position
2nd Position
3rd Position
February
Ranchi – 2036
Daltonganj-1283
Hajaribagh- 1116
March
Dhanbad-1523
Jmshedpur-1495
Deoghar-1408
April
Ranchi-1279
Dhanbad-772
Jmshedpur-700
Total No. of Station- 40 Total no. of Headquarter- 06
Headquarter Sales Details of last 3 Months
Total (Crt)-10462 Total (Crt)-27039
Total (Crt)-9614
Total (Crt)-6963
Ankit Kumar CUJ/I/2010/IMBA/03 Centre For Business Administration
INTRODUCTION
Founded in 1974 & founders are Mr. R S Agarwal and Mr. R S Goenka (Joint Chairman).
Emami Limited is an Indian producer of fast moving consumer goods (FMCG), such as cosmetics, health and baby products.
The company is based in Kolkata.
Emami grew 29.1% in 2011-12 where as India’s FMCG industry grew 14.8% only.
Emami’s quality products not only have a pan India presence, but also have a deep imprint in over 60 countries across the world including GCC, UK, Sri Lanka, Bangladesh, Nepal, African and the CIS countries.
COMPANY DETAILS
Emami turnover is about Rs.2000 crore, the group has business interests in FMCG, paper , writing instruments, edible oil and cultivation, bio-diesel, hospitals, contemporary art, pharmacy, cement, real estate and retail.
Emami owns Famous Brands like Fair and handsome, Boroplus, and Navratna Oil.
The domestic sales and distribution division directly covers 4.20 lac outlets all across the country along with an additional 2100 modern retail outlets.
Emami have its 25 brands- Baby Massage Oil, Boroplus Antiseptic Cream, Boroplus Prickly Heat Powder, Fair and Handsome, Hair Life, Himani Fast Relief, Malai Kesar Cold Cream, Mentho Plus, Navaratna Cool Talc, Navaratna Oil, Navaratna Lite, Navaratna Extra Thanda, Sonachandi Amritprash, Sonachandi Chyawanprash
Task-1
Supply Chain Management
The supply chain encompasses all activities involved in in transformation of goods from the raw material stage to final stage when goods and services reaches the end customers.
Includes not only suppliers, manufactures, customers but also transporters, warehouses and other intermediaries like agents C & F agents.
SCM involves- Material Flow, Finance Flow and Information Flow
Its tactical intents are sourcing contracts, production decision, inventory decision, transportation strategy and focused on customer demand
Its operational intends are production scheduling demand planning and forecasting outbound operation and order processing
Supply Chain Of Emami
For years, Emami had been using Fox Pro based systems for handling logistics.
By 2012,the company’s distribution network had grown, 7 manufacturing units, 6 mother warehouses, 32 Depots, 5 regional sales offices and over 3500 distributors and dealers.
Initiated Project Swadesh to facilitate distribution strength by covering 8200 villages directly across the country
In addition, about 100 trucks were dispatched daily. Due to distribution pressures rising, technology upgradation was necessary therefore company initiated automation of its outward logistics system in April 2004 with its primary distribution system.
Robust Distribution Network
Task-2
Transporter Demands, problem and its solution
In our survey I have found that most of the transporters are demanding increase in current rate because of the increase in price of Diesel, labor cost, maintenance cost and taxes.
Problems
Naxal/political Band Lack of manpower Shortage of Vehicles Vehicles Breakdown Delay from Depots in delivery of goods Traffic Jam No-Entry Timing Uncertain Accidents Less amounts of goods Delay in Payment Poor Infrastructure Delay in Billing and loading Route affected by M.C.C
Solution • • • • • • • • •
Administration should provide some level of security Goods should reach to the departure point before 4 Pm Backup plan for manpower Rate should be increased by certain % Proper maintenance of vehicles Payment should be made on time Timely entry and exit of vehicles Infrastructure should be improved No Entry timing should be reduced
Others Transporter's Survey Details
Other transporters in market are willing to work for the Emami Limited at the Market rate.
These transporters are also facing the same problem which existing transporter of Emami is facing.
I have found in my survey that some of the transporters are better than the existing transporter of Emami in terms of resource and manpower.
Some of transporter left the service of Emami due to delay in payment and less amount delivery order.
Task-3
Top 3 Station wise sales report of last 3 months. Month
1st Position
2nd Position
3rd Position
February
Ranchi – 2036
Daltonganj-1283
Hajaribagh- 1116
March
Dhanbad-1523
Jmshedpur-1495
Deoghar-1408
April
Ranchi-1279
Dhanbad-772
Jmshedpur-700
Total No. of Station- 40 Total no. of Headquarter- 06
Headquarter Sales Details of last 3 Months
Total (Crt)-10462 Total (Crt)-27039
Total (Crt)-9614
Total (Crt)-6963
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