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SUPPLY CHAIN
MANAGEMENT-
BIG BAZAAR
INTRODUCTION
Type Public company
Industry Retailing
Founded 2001
Headquarters Mumbai, Maharashtra, India
Products Hypermarket
Revenue ₹110 billion (US$1.7 billion) crore (in
2012) (Big Bazaar and Food Bazaar
combined)
Parent Future Group
https://www.youtube.com/watch?v=VEA9HlGIST8
Product Mix
FOOD
APPARELS
Farm
Produced
Refrigerated
Products
Home And
personal
care
Denims and
T-shirts
Fabrics
Formals
Party
wear
Casuals
staples
Sarees
Night wear
and sports
wear
Internatio
nal foods
Ready to
cook
Ready to
eat
Accessories
Ethnic
Wear
Spices
Tea and
coffee
Dairy
Products
Imported
fruits
Fruits
Vegetables
Ice
creams
Frozen
food
Milk Items
Juices
Shampoo
detergents
soaps
creams
Deodorant
Home
cleaner
utensils
plastics
crockery
Product Mix
Fashion and
Jewellery
Electronics
Bazaar
Furniture
Bazaar
Child Care
And toys
Other
services
Televisions
M bazaar
refrigerators
Personal Care
Washing
machines
Footwear
Bazaar
Jewellery and
accessories
Beauty
Care
Kitchen
appliances
Computer and
accessories
Living
room
Kids room
Bed
room
kitchen
Stationery
Toy bazaar
Child care
Kids
wear
Mr. right
Bakery
Loot mart
tulsi
Future
money
Future
Generali
Decorative
items
Paintings
• PRICE MIX
• Value Pricing (EDLP)
• Promotional Pricing
• Low Interest Financing
• Psychological Discounting
• Special Event Pricing
• Differentiated Pricing
• Time Pricing Bundling
PLACE MIX
• Initially Identifies
Future/Potential
development areas.
• Acquire such areas at an
early phase before the real
estate value booms.
• Located at high traffic areas.
• Design to look crowded
• PROMOTION MIX
• “Saal Ke Sabse Saste 3 Din”
• Future Card(3%Discount)
• Advertising(Print ads, TV Ads, Radio)
• Brand Endorsement by M.S Dhoni
• Exchange Offer
• Weekend Discount
• Point of Purchase Promotion
Objectives of Customer Services
 Ensure all customer contact reaches an appropriate conclusion.
 Minimize incidences of repeat contact.
 Seek to provide a seamless service for customers.
 Provide equal and easy access to our services at a time, place and channel that meet the needs
of residents, businesses and other stakeholders.
 Cater for customers needs irrespective of age, gender, physical or financial ability, ethnic origin,
race, religion or geographical location.
 Provide a prompt, courteous and knowledgeable response to all customer enquiries.
 Equip our staff to provide customers with an excellent standard of service.
 Enable our customers to provide feedback easily, through complaints, customer surveys, etc.
 Use customer compliments, comments and complaints to drive improvements to service .
 Improve the speed, quality and consistency of response to enquiries by having our information in
a format that can be easily accessed.
 https://www.youtube.com/watch?v=FA5dTDi4OXs
Store Layout And Design
 The store layout and design is perfect in creating image
in the mind of customers.
 Planograms technique used by them in order to make
their products visible and also provide lot of space for
customers.
 It is designed just like convenience store to make people
feel like they are shopping in local market.
Visual Merchandising
1. Idea oriented presentation
 Different section of apparels having all types of apparels for men , women ,
children etc.
 Different sections for electronics , toiletries , toys , food etc.
 These divisions will help customers to easily identify products.
2. Color Presentation
 Warm colors like red and yellow to vibrant , active and emotional responses.
 Cool colors like white and blue to have a peaceful , gentle , and calm effect.
3. Music
 Control the pace of store traffic, create an image and attract consumer
attraction.
4. Lightning
 Highlight merchandise , bright lights and structure space in efficient way. To
capture light mood of customers.
5. Fixtures
 Straight Racks to hold lots of apparels.
 Gondola shelving are good for food and grocery.
6. Store Ambience
 The ambience of the store is like convenience store . People can spend
their time and chose whatever they want.
SUPPLIER SELECTION
CRITERIA
 Competitive pricing
 Ability to meet specifications and standards
 Product and service quality
 Product yields and durability (food)
 Reliable delivery methods
 Quality control methods and practices
 Technical abilities
 Financial stability & credit strength
 Compatibility with existing products
 Proven performance and experience
Stock/Inventory Management
 Stock Management or inventory management is
managing the stock with the company or managing in the
procurement of the stock.
 Stock management basically linked directly with the
customers demand.
 Indeed this is the most important aspect for company
because large amount of money is tied up with this.
Types of Inventories Maintained
 Foods
 Staples
 Apparel
 Beauty Products
 Utensils
 Depend upon Automatic Replenishment System(ARS).
 The reorder points are set depending upon the sales of
previous 3 months and hence ARS generates demand.
 Perishable goods like vegetables are arranged in shop
format . Outside vendors help them in arrangement.
Unexpected Demands
 Contact nearby Big bazaar
 Contact other Fbb stores.
 Contact direct Vendors like P&G , HUL etc.
 They never try to lose customers and provide them best
help.
Supply management
 Procurement in Big Bazaar happens from :
 CDC(Central distribution center)
 Local Vendors
 The Stocks in the store is managed by Automatic
Replenishment system (ARS)
 The CDC are located in such a strategically positioned so
that it can easily catered to nearby big bazaar.
Central Distribution
Management
Local Procurement
Process Map
Stock Management on the Floor
 The requirement of the stock on the floor is depend on
the customer demand or if the product got expired.
 Footfall of the customer is the main reason for stock
rotation.
 Department manager keeps the track of stock on the
floor.
 When the sales are high or the product with the high
demand they keep safety stock in their outlet.
 DM ask for the product and it is replenished by
warehouse team accordingly.
Shrinkage Concept
 The store is finding huge loss in form of shrinkage.
 They were planning adopt high security in order to get rid
of this.
 Also there is person standing with each row to keep track
of customers and also to give information to customer
regarding products.
 Shrinkage = Total no. of goods in books- total no. of
goods in physical
Logistics
 Previously they have outsourced their logistics to a
logistics company. But now they have their own FUTURE
LOGISTICS.
 They are focusing on cost cutting as this is the one of the
biggest cost for their business.
 Reverse logistics is huge cost for them also.
Waste Management
 Waste management is helping them to enhance brand
image , boost profitability .
 They have kept dustbins where ready to eat items were
present.
 They were first in the city to replace plastic bags in 2011.
 They also started great exchange offer where anyone
can exchange newspapers and clothes or any type of
waste in order to get offers on their products.
THANK YOU

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SCM Big Bazaar ppt

  • 2. INTRODUCTION Type Public company Industry Retailing Founded 2001 Headquarters Mumbai, Maharashtra, India Products Hypermarket Revenue ₹110 billion (US$1.7 billion) crore (in 2012) (Big Bazaar and Food Bazaar combined) Parent Future Group https://www.youtube.com/watch?v=VEA9HlGIST8
  • 3. Product Mix FOOD APPARELS Farm Produced Refrigerated Products Home And personal care Denims and T-shirts Fabrics Formals Party wear Casuals staples Sarees Night wear and sports wear Internatio nal foods Ready to cook Ready to eat Accessories Ethnic Wear Spices Tea and coffee Dairy Products Imported fruits Fruits Vegetables Ice creams Frozen food Milk Items Juices Shampoo detergents soaps creams Deodorant Home cleaner utensils plastics crockery
  • 4. Product Mix Fashion and Jewellery Electronics Bazaar Furniture Bazaar Child Care And toys Other services Televisions M bazaar refrigerators Personal Care Washing machines Footwear Bazaar Jewellery and accessories Beauty Care Kitchen appliances Computer and accessories Living room Kids room Bed room kitchen Stationery Toy bazaar Child care Kids wear Mr. right Bakery Loot mart tulsi Future money Future Generali Decorative items Paintings
  • 5. • PRICE MIX • Value Pricing (EDLP) • Promotional Pricing • Low Interest Financing • Psychological Discounting • Special Event Pricing • Differentiated Pricing • Time Pricing Bundling PLACE MIX • Initially Identifies Future/Potential development areas. • Acquire such areas at an early phase before the real estate value booms. • Located at high traffic areas. • Design to look crowded • PROMOTION MIX • “Saal Ke Sabse Saste 3 Din” • Future Card(3%Discount) • Advertising(Print ads, TV Ads, Radio) • Brand Endorsement by M.S Dhoni • Exchange Offer • Weekend Discount • Point of Purchase Promotion
  • 6. Objectives of Customer Services  Ensure all customer contact reaches an appropriate conclusion.  Minimize incidences of repeat contact.  Seek to provide a seamless service for customers.  Provide equal and easy access to our services at a time, place and channel that meet the needs of residents, businesses and other stakeholders.  Cater for customers needs irrespective of age, gender, physical or financial ability, ethnic origin, race, religion or geographical location.  Provide a prompt, courteous and knowledgeable response to all customer enquiries.  Equip our staff to provide customers with an excellent standard of service.  Enable our customers to provide feedback easily, through complaints, customer surveys, etc.  Use customer compliments, comments and complaints to drive improvements to service .  Improve the speed, quality and consistency of response to enquiries by having our information in a format that can be easily accessed.  https://www.youtube.com/watch?v=FA5dTDi4OXs
  • 7. Store Layout And Design  The store layout and design is perfect in creating image in the mind of customers.  Planograms technique used by them in order to make their products visible and also provide lot of space for customers.  It is designed just like convenience store to make people feel like they are shopping in local market.
  • 8. Visual Merchandising 1. Idea oriented presentation  Different section of apparels having all types of apparels for men , women , children etc.  Different sections for electronics , toiletries , toys , food etc.  These divisions will help customers to easily identify products. 2. Color Presentation  Warm colors like red and yellow to vibrant , active and emotional responses.  Cool colors like white and blue to have a peaceful , gentle , and calm effect.
  • 9. 3. Music  Control the pace of store traffic, create an image and attract consumer attraction. 4. Lightning  Highlight merchandise , bright lights and structure space in efficient way. To capture light mood of customers. 5. Fixtures  Straight Racks to hold lots of apparels.  Gondola shelving are good for food and grocery. 6. Store Ambience  The ambience of the store is like convenience store . People can spend their time and chose whatever they want.
  • 10. SUPPLIER SELECTION CRITERIA  Competitive pricing  Ability to meet specifications and standards  Product and service quality  Product yields and durability (food)  Reliable delivery methods  Quality control methods and practices  Technical abilities  Financial stability & credit strength  Compatibility with existing products  Proven performance and experience
  • 11. Stock/Inventory Management  Stock Management or inventory management is managing the stock with the company or managing in the procurement of the stock.  Stock management basically linked directly with the customers demand.  Indeed this is the most important aspect for company because large amount of money is tied up with this.
  • 12. Types of Inventories Maintained  Foods  Staples  Apparel  Beauty Products  Utensils  Depend upon Automatic Replenishment System(ARS).  The reorder points are set depending upon the sales of previous 3 months and hence ARS generates demand.  Perishable goods like vegetables are arranged in shop format . Outside vendors help them in arrangement.
  • 13. Unexpected Demands  Contact nearby Big bazaar  Contact other Fbb stores.  Contact direct Vendors like P&G , HUL etc.  They never try to lose customers and provide them best help.
  • 14. Supply management  Procurement in Big Bazaar happens from :  CDC(Central distribution center)  Local Vendors  The Stocks in the store is managed by Automatic Replenishment system (ARS)  The CDC are located in such a strategically positioned so that it can easily catered to nearby big bazaar.
  • 17. Stock Management on the Floor  The requirement of the stock on the floor is depend on the customer demand or if the product got expired.  Footfall of the customer is the main reason for stock rotation.  Department manager keeps the track of stock on the floor.  When the sales are high or the product with the high demand they keep safety stock in their outlet.  DM ask for the product and it is replenished by warehouse team accordingly.
  • 18. Shrinkage Concept  The store is finding huge loss in form of shrinkage.  They were planning adopt high security in order to get rid of this.  Also there is person standing with each row to keep track of customers and also to give information to customer regarding products.  Shrinkage = Total no. of goods in books- total no. of goods in physical
  • 19. Logistics  Previously they have outsourced their logistics to a logistics company. But now they have their own FUTURE LOGISTICS.  They are focusing on cost cutting as this is the one of the biggest cost for their business.  Reverse logistics is huge cost for them also.
  • 20. Waste Management  Waste management is helping them to enhance brand image , boost profitability .  They have kept dustbins where ready to eat items were present.  They were first in the city to replace plastic bags in 2011.  They also started great exchange offer where anyone can exchange newspapers and clothes or any type of waste in order to get offers on their products.