PS I PROJECT PRESENTATION
Al Seer Trading
By
Shivang Patel Jeslyn John
Shilpa Uppalapati Bhaskar Babu
Introduction
Logistics
Layoutand Handling
Customer Survey
Consumer
Orderand Replenishment Planning
Customer Survey
Nestle
Competition Awareness & Counteraction
Layout and Handling
Methodology
Collected existing material
Blue print
Documents in use.
Verified the existing material.
Used AutoCAD for the layout.
Collected Blue print
What we created
Warehouse Management System
(WMS)
• In the process of implementing
• WMS does the following
• All the shelves are given an address and a barcode
by which the system identifies them.
• Contains the information
• Creates a picking list automatically
• Picking list contains only the addresses.
• Our project here
• Create a visual aid to help in effective picking,
storing and supervising
• Created a MAP
Addressing System
Wholesale Rack Store
Retail Rack Store
Safe Storage Area
Possible Advantages
Points out the actual location of the shelf/rack –
effective picking
Supervising
Avoids Fragmentation
Training of the staff and newcomers for the
WMS system
Effective Storage
Collected data of space usage
over a period of seven days
Empty pallets
Half filled pallets
Observations
Wholesale Empty –
403
Wholesale Half
empty – 616
Retail empty - 191
WHAT THE NUMBERS MEAN
Retail shelf store
Suggestions
The products in wholesale area could be shifted on
temporary basis to the retail area
Lease out extra space in the whole sale area also ( ex
Bulk Area)
Make more number of half shelves
Phase II
Customer Survey
Customer Interviews
Two kinds of customers from the logistics
point of view
External – Retail outlets
Internal - Nestle and Consumer Departments
Reports collected
Goods returned reports
Sales report ( outlet wise, product wise)
Created questionnaires targeting
Internal salesmen – Nestle and Consumer Depts.
External Customers – Retail Outlets.
Areas Targeted in the Questionnaire:
External Customers:
Services Offered
Attitude of the Al Seer representatives
Goods returned problem
Benchmarking
Internal Salesmen:
Support offered
Flow of communication
Analysis of internal customer survey
Pr o d u c t awar e n e s s
In t e r n a l c u s t o me r s u r v e y
o r d e r c o n f ir ma t io n s y s t e m
10 f l o w o f c o mmu n ic a t io n ( y o u a n d S O P )
(y o u a n d t r a n s p o r t d iv is io n )
9
(y o u a n d d e l iv e r y p e r s o n )
8 u p d a t io n ( e r r o r s in L P O )
(d e l a y e d d e l iv e r y )
7
( goods ret urned)
6 5 5
5 Ac c u r a c y o f L P O 's
5
scale
5 4 D e s ir e d S u p o o t in u r g e n t r e q u e s t s
4 4 4
c u s t o me r c o mp l a in s ( d e l iv e r y t ime /
4 4 day)
3 3 3 3 (b e h a v io u r o f d e l iv e r y p e r s o n )
3 3
3 (c o n d it io n o f g o o d s a t d e l iv e r y )
2 2
(in v o ic e d e l iv e r y mis ma t c h )
2
U p d a t io n a b o u t ( c h a n g e s in
1 bar c o d e )
(c h a n g e s in p r o d u c t c o d e )
0 (p r ic e d if f e r e n c e )
External Flow of communication
S a l e s me n & S a l e s O r d e r
Pr o c es s o r
10
7
6 Least
6
Highest
5
4 4
4
3 3
3
2 2 2 2 2
2
1 1 1 1 1 1 1 1
1
Average : 2
The general view about this question was that the communication was
pretty smooth
External Flow of communication
S a l e s me n & Tr a n s po r t d iv is io n
10
10
9 9
9
8
7 7
7
6
5 5 Highest
5
4 Least
4
3
3
2 2 2 2 2
2
1 1 1 1
1
0
Average : 4
The trend shows that this channel of communication required a better and
smoother flow
External Flow of communication
S a l e s me n & D e l iv e r y p e r s o n
10 10
10
9 9
9
8
8
6
5 5 5 5 5 Lowest
5
4 Highest
3
3
2 2 2 2 2
2
1 1
1
Average : 5
This was a point of dissatisfaction for most of the people interviewed
It was suggested that the delivery man should be provided with a mobile means of communication and
should be instructed to contact the respective salesperson in any event of returns so that they can make an
effort to solve the issue then and there and prevent the goods returned
How well are Salesmen updated about………
E r r o r s in LP O 's
10
10
9
8 8
8
7
7
6
5 5 5 5 Lowest
5
Highest
4
3 3 3
3
2 2 2 2
2
1 1 1
1
Average : 4
There was a slight hint of dissatisfaction in this area
How well are Salesmen updated about
D e l a ye d d e l iv e r ie s
10 10
10
9 9
9
8 8 8
8
7
7
6
6
5 Highest
5
4 Lowest
4
3
3
2 2
2
1 1 1 1
1
Average : 5
How well are Salesmen updated about
Go o ds r e t ur n e d
10 10
10
9 9
9
8 8 8
8
7
6
6
5 5 5 Highest
5
4 Lowest
4
3
3
2 2
2
1 1 1
1
Average : 5
This was also an area of dissatisfaction and this could be reduced by
promptly informing the concerned salesmen
Customer Complaint Frequency
D e l iv e r y d a t e / t ime
10
10
9
8
7 7
7
6
6
5 Lowest
5
4 Highest
4
3 3 3 3
3
2 2 2 2 2
2
1 1 1
1
0
Average : 4
This statistics show that complaints related to delivery are received by
the salesmen from their customer at considerable frequency
Customer Complain Frequency
B e h a v io u r o f d e l iv e r y p e r s o n
10
10
9
8
8
7
6
5 5 Lowest
5
4
4 Highest
3 3 3 3
3
2 2 2
2
1 1 1 1 1 1
1
0
Average : 3
It shows that the complains related to behavior of delivery person are
not that common and is not an area of concern. Also it was pointed out
that the delivery personnel have a very heavy schedule accompanied
with the long waiting hours at some retail outlets.
Customer Complain Frequency
C o n d it io n s o f g o o d s w h e n d e l iv e r e d
10
10
9
8
8
7
7
6
5 Lowest
5
Highest
4
3 3
3
2 2 2 2
2
1 1 1 1 1 1 1 1
1
Average : 3
Complaints related to condition of goods at the time of delivery were
also not encountered much
Customer Complain Frequency
In v o ic e s d o n t ma t c h t h e d e l iv e r y
10 10
10
9
8
8
7
6
Lowest
5
4 Highest
4
3 3 3 3
3
2 2 2
2
1 1 1 1 1 1 1
1
0
Average : 3
Except for some isolated cases this complain was also not received that
frequently.
Internal Flow of communication
C h a n g e s in b a r c o d e
10 10 10 10
10
9 9
9
8 8
8
6
5 5 Lowest
5
4 Highest
4
3
3
2
2
1 1 1 1 1
1
Average : 5
This was a major area of concern at the level of dissatisfaction was a
general trend
Our suggestions - use of SMS to update the salesmen in real time
Mentioning of barcodes on the invoices.
Internal Flow of communication
C h a n g e s in p r o d u c t c o d e
10
10
9 9 9
9
8
7 7
7
6
5 Lowest
5
4 4 Higest
4
3 3
3
2 2
2
1 1 1 1 1
1
Average : 4
Internal Flow of communication
P r ic e d if f e r e n c e
10 10
10
9 9
9
8
8
7
6 6
6
Lowest
5
4 Higest
4
3
2 2 2 2
2
1 1 1 1 1 1
1
Average : 4
Information regarding the price difference was also not conveyed
immediately
Suggestions gathered during interviews
An order copy must be sent out with every
delivery (The actually LPO or the order form
that is already signed by the manager and shelf
boy.)
Special requirements should be highlighted in
the picking slip.
Provision of mobile phones and cards to
delivery people
Merchandiser to be present at the time of
delivery at the Union Co-ops
Our suggestions
The barcodes ( numbers ) should be mentioned in the
invoices
Salesmen should be informed immediately using SMS
(Short messaging Service)
the delivery person should first be provided with
mobiles
Delivery personnel should call the salesmen
immediately in case of ay problem
Analysis of external customer survey
o r d e r c y c l e t i me
Ex t e r n a l c u s t o me r s u r v e y
p r o d u c t a s p e r LP O
10 a v a i l a b i l it y o f i n f o r ma t i o n
9 a c c u r a c y o f i n v o ic e s
a c c u r a c y o f d e l iv e r e d g o o d s
8
c o n d i t io n o f p r o d u c t s w h e n
7 r e c e iv e d
p r o mp t s o l u t io n s
6
i n v e s t me n t i n s h e l f s p a c e
scale
5
wr o n g b a r c o d e
4 4
s h o r t e x pir y
3 3 d a ma g e d g o o d s
2 2 2
2 2 2 2 2
2 2 2 2 2 2 it e m n o t l o a d e d
p r i c e d if f e r e n c e
1
it e m n o t r e q u ir e d
0
l a t e d e l iv e r ie s
Satisfaction of total order cycle time
C y c l e t ime s a t is f a c t io n
10
6
Lowest
5
Higest
4
3 3
3
2 2 2 2 2 2 2
2
1 1 1
1
Average : 2
Availability of product as per LPO
Av a il a b il it y o f p r o d u c t
10
6 Highest
5
5 Lowest
4
3 3 3
3
2 2 2 2
2
1 1 1 1
1
Average : 2
Availability of information
Av a il a b il it y o f in f o r ma t io n
10
6
Lowest
5
4 Highest
3 3 3 3
3
2 2 2 2
2
1 1 1 1
1
Average : 2
Accuracy of invoices
Ac c u r a c y o f in v o ic e s
10
6
5 Lowest
5
4 Highest
3 3 3
3
2 2 2 2
2
1 1 1 1
1
Average : 2
Accuracy of delivered goods
Ac c u r a c y o f d e l iv e r e d g o o d s
10
9
9
6
Higest
5
Lowest
4
3 3 3
3
2 2 2 2
2
1 1 1 1
1
Average : 3
Only Lamcy Plaza had a problem. But the problem was originating from
their side.
Condition of product when received
C o n d it io n o f pr o d u c t s w h e n r e c e iv e d
10
6
Highest
5
Lowest
4
3
3
2 2 2 2 2
2
1 1 1 1 1 1
1
Average : 2
Promptness in dealing with customer
complains
D e a l in g w it h c u s t o me r c o mp l a in t s
10
6
higest
5
lowest
4
3 3
3
2 2 2 2 2 2 2
2
1 1
1
Average : 2
Frequency of problems regarding
P r o b l e ms r e g a r d in g b a r c o d e
10
10
9
9
6
5 higest
5
4 4 lowest
4
3
2 2 2 2 2
2
1 1
1
Average : 4
The goods had to be returned due to barcode not being accepted by the
retail outlet system
Frequency of problems regarding
P r o b l e ms r e g a r d in g s h o r t e x p ir y
10
6
higest
5
4 4 lowest
4
3
2 2 2 2 2 2
2
1 1 1 1
1
Average : 2
Frequency of problems regarding
P r o b l e ms r e g a r d in g d a ma g e d g o o d s
10
6
lowest
5
4 higest
4
3
2 2 2 2 2
2
1 1 1 1 1
1
Average : 2
Frequency of problems regarding
P r o b l e ms r e g a r d in g it e ms n o t l o a d e d
10
6
lowest
5
higest
4
3
2 2 2 2 2 2 2
2
1 1 1 1 1
1
Average : 2
Frequency of problems regarding
P r o b l e ms r e g a r d in g p r ic e d if e r e n c e
10
6
lowest
5
4 higest
4
3
2 2 2 2 2 2
2
1 1 1 1 1
1
Average : 2
Frequency of problems regarding
It e m n o t R e q u ir e d
10
6
Series4
5
4 Series6
4
3
2 2 2 2 2 2
2
1 1 1 1
1
Average : 2
The customers were quite happy because whatever they returned were
being accepted by Al Seer
Frequency of problems regarding
P r o b l e ms r e g a r d in g l a t e
d e l iv e r ie s
10
9
8
7
6 Highest
5 4 4
4 Lowest
3 2 2 2 2 2 2 2
2 1 1
1
0
Average : 2
Areas of concern & Suggestions
Certain unlisted products were sent along with the listed ones
Complain by certain B class supermarkets about the salesmen and merchandiser not
visiting the outlet frequently
Frequent problems with barcode in certain A class supermarkets in promotional items
Certain outlets suggested printing of barcodes on the invoices to reduce the confusion
As far as the benchmarking is concerned we made our constant effort to make sure that
whatever the rating they gave was relative to certain market leaders like Transmate, MMI,
and T Choittram & Sons etc…, considering this the result show that our services from the
logistics were better than the competitor as there were frequent references to these
competitors and comments placing our services on the top
Conclusion
Actual layout of the warehouse using
AutoCAD
WMS Maps
Efficient space usage
Areas of concern from Customer &
Salesmen interviews
ORDER AND REPLENISHMENT
PLANNING
OIP (Order Inventory Planning)
FACTBOOK
Sample of OIP Report
ERRORS FOUND IN THE OIP
Mistake in the formulae
Alignment Problem
Error in programming
FACTBOOK
Data collection:Desk Research (records, invoices)
OLD MODEL
Agency Co ntac t Pe rs o n
Kimbe rly Cla rk Mr. Antoine Ge orge s
Re ckitt Be nckis e r Linta Jos e
Kra ft S ne ha Ra o
Uniq Conve nie nce Foods Intl. Mr. Le e Fos te r
H J Hie nz Froze n & Chille d Foods ltd. Mr. David Couls on
Godre j Goba l Mr. Venka te s h
Moda s h Mrs . S c huma c he r
La wa nd S ohia
Fris kie s Ms ma ra Aloi
Colga te P a lmolive - Ara bia Mr. Fe lix Fe rna nde s
Colga te P a lmolive - Gulf S ta te s Ms . As s ia Deke r
Anglis s Duba i Mr. Thoma s Titty
Unite d Bis cuits - Ara bia Mr. S aje e van
Unite d Bis cuits - Tunis ia Mr. Amor Re z gui
Al S a ye r S oft Drinks Fa ctory W.L.L Mr. Ibra him Khoury
Bond S tre e t - Cos me tics Mr. Barry Wide
Arcor Mr. Danie l Torre gia ni
Na tiona l Rice Mills Mr. Abhis he k S a ra n
Ka ra ja - Cos me tics Ms . Mic he la
Food S pe cia ltie s Limite d Mr. Harold Ha rt
New Model
ADVANTAGES
• Can access it at any point of time
•No confusion whatsoever
•Can update it whenever possible
Customer Relationship Management
• PROJECT AREA: The draw on the HUGGIES
promotion
• SUB DIVISIONS: 1. CUSTOMER DATABASE
2. SURVEY
3. HTML EMAIL
HOW WAS THE PROJECT CARRIED OUT?
Identify different types of prize winners
Input into the computer
Contact them
Give out their prizes
CUSTOMER DATABASE
Earlier: Was done using the Excel sheet
Problems rising: Waste of time.
Solution: MS Access programming
ADVANTAGES
Time management
Easily identify who has collected/
not collected
Can access it for future purposes
SURVEY
Software used:
Wisco Survey Power
RESULTS OF THE SURVEY
CONDUCTED
FOR OVER
110 PEOPLE
CRM Analysis
OVERALL QUALITY
53
60
48
50
40
NO. OF PEOPLE 30
20
5
4
10
0
Not Satisfied Neutral Satisfied Very satisfied
CRM Analysis
VALUE FOR MONEY
53
60
50
40
21 22
NO. OF PEOPLE 30
14
20
10
0
Not Satisfied Neutral Satisfied Very satisfied
CRM Analysis
COMFORTABLE EXPERIENCE FOR YOUR CHILD
49 50
50
45
40
35
30
NO. OF PEOPLE 25
20
15
5 6
10
0
Not Satisfied Neutral Satisfied Very satisfied
CRM Analysis
PURCHASE
14%
39%
First time
Few months
For over a year
47%
CRM Analysis
REASON BEHIND PURCHASE
17% 20%
Friends recommended it
Promotion
Advertisements
Tried something new & liked it
Other Responses
29%
29%
5%
CRM Analysis
HUGGIES VS. DIAPERS
60
52
50
40
NO. OF PEOPLE
31
30
22
20
10
2 2
0
Much better Somew hat better About the same Somew hat w orse Much w orse
CRM Analysis
HUGGIES TYPES
80
76
70
60
50
NO. OF PEOPLE
38
40
30
20
14
9 10
10
0
Huggies Steps(Blue) 14.95/- Huggies Freedom(Green) 28-30/- Huggies Pull Ups Huggies Goodnites Huggies Wipes
CRM Analysis
RECOMMENDATION
100
95
90
80
70
60
NO. OF PEOPLE
50
40
30
20
11
10
4
0
Definitely will Not sure Definitely will not
Recommendations
•Expand Huggies market – market availability is less
Impulse buying was one of the main points noticed
Wipes Unscented
•Need Bigger packs – price slightly on the higher
Range
•Come up with exciting offers
•Free samples
Recommendations
Increase the absorption – Shortcoming seen in STEPS
Sticker on the diapers creates marks on the baby
ADDITIONAL PACKAGE TO THE
CRM PROJECT
HTML EMAIL
Software used:
Outlook Express
CONCLUSION
Detecting errors in the OIP reports
Creation of a Fact Book
Creation of a customer Database
Analysis of the customer survey
HTML e-mail renovation
NESTLE DIVISION
COMPETITOR ACTIVITIES FOR NESTLE
AND SUGGESTIONS
Market Survey
Visited around 41 supermarkets all over the U.A.E
Union co-ops- 5 Emirates co-ops- 2
Sharjah co-ops- 2 Discount centres- 2
Choithram’s- 4 Carrefour- 2
Lal’s- 1 Alfalah plaza-1
Spinneys-3 Ajman co-op- 1
Park ‘n’ shop- 1 Jesco’s-2
Park ‘n’ save- 1 B-class super mkts- 13
Market share of Nestle products
Nido milk powder
100% Nescafe coffee powder
90% Cerelac
80% Break fast cereals
70% Confectionary
60% Maggie sauce
50% Sweet condensed milk
40% coconut milk powder
30% Maggie 2m noodles
20% Maggie soups
10% Maggie powder
0% Maggie stock
Cream
***NOTE :- These market shares are estimated by visiting around 50 super markets all
over U.A.E, talking with the merchandisers and taking an average of all the data
COMPETITOR ACTIVITIES
COMPETITOR ACTIVITIES
COMPETITOR ACTIVITIES
COMPETITOR ACTIVITIES
COMPETITOR ACTIVITIES
MAIN COMPETITORS FOR NESTLE
Nido:Anchor, Coast, Olden Burger, Rainbow, Sharjah Co-operative
Milk Powder, Co-op Instant Milk Powder
Nescafe:Najjar, Rio, Taster’s Choice, Bru Instant, Maxwell House
Cerelac: Farley’s, S26 Gold, S26 AR, S26 LF, Hero, Aptamil
Confectionary: Mars, Cadbury, Ferorro Rocher, Bounty, Snickers
Maggi Sauce: Kimball, Heinz, Kissan, Hunt’s, American Garden,
Natural Sauce, HP, Lea & Perrins
Cream: Puck Cream, Al Al Ali Cream, Co-op Cream, Unikai Cream
CMP: Santan, Herco
Maggi 2M Noodles: Indomie, Koka, Fantastic, Mamee, Supercup
Noodles
Recommendation for Nido Milk Powder
Increase in the price of Nido M.P. by 5% effective from 1st August
2003
Even Nido’s main competitor Anchor has increased its price by 5%
because of the strategy followed by nido being a brand leader
It is going to be an advantage for anchor because anchor’s distributors
(New zealand diary) has very good budget to promote anchor since
this product is direct distribution from the principal itself
Anchor has been promoting the product continuously for 4 years
Nido should maintain consistency in price issue so that it wouldn’t be
giving a chance for it’s competitors like Anchor to take advantage
over it
Recommendation for Maggi Sauce
Particularly Maggi sauce is very slow moving among nestle products
when compared to the competitors like kimball
Cost is the main factor involved
60%
50%
40%
maggi
30%
kimball
20%
10%
0%
Recommendation for Maggi Sauce
Kimball has a market share of around 60%
•To attack kimball and capture the market
promotions like 10% off,20% off,10% more,
20% more,maggi sauce promotion along with
maggi powder offer,buy 3 get 1 free should
help
Recommendation for Nestle products
Break fast cereals
Kellogg’s is the brand leader in c.p.w
with a market share of around 78%
80%
70%
60%
50%
40% Kellogg's
30% Nestle
20%
10%
0%
Recommendation for Nestle products
Break fast cereals
To attack kellogg’s and capture the market to some extent , portion
packs can be supplied to the offices i.e., dry sampling can be done
By doing this the customers can use the product during break time,
tea timeor even during working hours
This becomes a habit for them slowly and they get used to the
product and get to know about the feel and quality of the product
The market share and sales can be rapidly increased in this way
Suggestions for Nestle products
Break fast cereals
Different kinds of PROMOTIONS that can be
done for nestle
1)Bowl free 2)Nestle Crunch
cereals
30g free
4)10% free,20% free offers 3)Point of sales mt
Suggestions for Nestle products
confectionary
Mars is the brand leader in confectionary with a market
share of around 55%
Nestle is competing with mars
Confectionary items are very fast moving goods
Display of these confectionary items in check out stands
which is known as “impulse goods” increases the chance
to capture the market and to become the brand leader
Problems Faced
Lack of communication between the sales men and the
merchandisers is observed
In some supermarkets the problems like the products are
not being made available on the shelf is faced
This is the area where the sales men and the
merchandiser has to improve and work as a team to
increase the sales and at the same time keep the
standards of the nestle products
Conclusion
• I Hope that this project which has been done will help the
company in improving their sales
• This project which is involved with all the data collected
about the competitor activities for nestle which will be
very useful for maintaining a level always better than the
competitors
ACKNOWLEDGEMENTS
Our sincere thanks to:
Mr. Chandrasekar General Manager
Mr. Vincent D’Souza Trade Marketing Manager
Mr. V. L. Bhatia Logistics Manager
Mr. Shirin Manger, Nestle Division
Mr. Sharath Babu Business Development
Manager
Mr. Denzil Supply Chain Coordinator
Mr. Nair IS Manager
Mr. Mustafa Stock Manager
Ms. Amila HR Manager
Mr. Divakaran Central Finance Manager
Ms. Deepa Market Analyst
Mr. Sarfaraz Market Analyst
Mr. Unni Nestle Field Sales Manager
Prof. Ramachandran Dean, BITS Pilani Dubai Centre
Ms. Sujala Shetty PS Faculty
Mr. Calvin King PS Coordinator
THANK YOU
