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2012


   MIS report on
   Reliance Fresh
   The project report describes the study conducted on retail sector &
   their supply chain system. The study was conducted at RELIANCE
   FRESH located at FOOTI KOOTHI ,INDORE




   Submitted to:-                                   Submitted by:-
   Dr. Vishal Khasgiwala                            Prachi Jain
                                                    Priya Soni
                                                    Sunayani Porwal




                              Sapient Institute of Management Studies
                                                          7/13/2012
DATA collection:_
Primary data: Primary data is collected trough personal observation as
well as form the logistic head of the reliance fresh located at footi kothi ,
Indore.

Secondary data: Some data about the reliance fresh is collected through
the various e journals, magazines & also from various websites.




MIS report on Reliance fresh                                            Page 2
Content:

   1. About Reliance Fresh……………………………………………….

   2. History…………………………………………………………………

   3. Growth of Reliance Fresh………………………………………….

   4. Objectives…………………………………………………………….

   5. Product availability………………………………………………….

   6. Supply Logistics……………………………………………………..

   7. Inventory management and logistics……………………………

   8. Recommendations…………………………………………………..

   9. Conclusion…………………………………………………………...




MIS report on Reliance fresh                   Page 3
Introduction of reliance fresh:


About

Reliance Fresh a convenient store format, is governed by the Mukesh
Ambani and is the most important part of Reliance Industries retail
Business. Reliance Ltd. has planned to invest more than Rs. 25000
crores in the retail division.
It also comprises more than 560 reliance fresh stores all over the
country. The outlet sells fresh fruits, staples, dairy products, fresh juice
bars, groceries and vegetables. A distinctive Reliance Fresh outlet is
around 3000 to 4000 sq. feet and accommodates catchment area of one
to three Kilometers.



History of Reliance Fresh
The Reliance Retail had to face various difficulties before the launch of
Reliance fresh, because of the various circumstances prevailing in
Orissa, West Bengal and UP, along with the news focusing on the dearth
of vegetables and fruits stocks. The retail business of Reliance then
minimized its exposure in vegetable and fruit business, as a result
established Reliance fresh positioning a pure super market play focusing
on various categories like IT, consumer durables, home, FMCG and food.

The retail company of Reliance may not supply the vegetables and fruits
in a few states, the Reliance Fresh decided to not to race with local
wholesalers partly because of the political reasons as well as its
incapability to maintain a healthy supply chain.



Growth of Reliance Fresh
The first ever a Reliance Fresh store was established in Hyderabad,
wherein the company, mainly focused on the fresh produced vegetables
and fruits at comparatively low price along with an introduction of farm
to fork theory.

This was the idea, which was anticipated by the company was to take the
supply direct from the farmers and then sell straightaway to the

MIS report on Reliance fresh                                           Page 4
consumers removing the middle-men off the beaten track. Reliance
introduced several formats in the marketplace to cater to needs of
common people, which includes Reliance Fresh, Reliance Super, Reliance
Footprint, Reliance Timeout, Reliance Jewels, Reliance wellness, Reliance
Mart and Reliance Digital, to name a few.

In addition to this, the Reliance Retail also entered into a treaty with
Apple, which is a leading Information Technology company, to set up a
series of Apple Specialty Outlets branded as IStore, with its first ever
store in Bangalore.

With an idea to produce inclusive prosperity and growth for farmers,
consumers, small shopkeepers and vendor partners, Reliance Retail was
set up in order to lead the foray of Reliance Group into an organized
retail.



Objectives:-
       To provide high quality products to its customers.
       To reduce spoilage through its state of-the-art supply chain &
       logistic networks.
       To enrich customer’s shopping experience through customized
       offer, private labels & ‘value for money’ merchandise.
       To foster relationship with partners that will create new avenues of
       value enhancement for customers.
       To bolster its agribusiness & dairy value chain to support its
       rapidly expanding store footprint.
       To ensures fair & timely payments to farmers.



Product Availability:
Although Reliance Fresh is mainly concerned about stocking fresh
vegitables and fruits but due to some political controversy they mainly
focus on the household products and FMCG products.

The product details are listed below:


MIS report on Reliance fresh                                          Page 5
Fresh fruits
        Vegetables
        Chocolates
        Confectionaries
        Cold drinks
        Freeze items like butter, ice-cream etc.
        House hold products
        Toilet items
        Spices and dry food
        Office stationeries

The product displayed in shelves in such a height so that they can be
easily availed by the customers and customers can compare the product
specifications and price.



Supply Logistics:
Current supply chain of Reliance Fresh:

       Always buy from local farmers, never from the mandies.
       Established the rural business hubs in many parts of the country.
       The objective is to make the entire value chain more effective and
       responsive.


                                       LOCAL FARMERS




                               COLLECTION CENTER LINKED WITH
                               CONSORTIUMS (here grading and
                               standardization takes place)



                                      RELIANCE FRESH
                                      OUTLETS




MIS report on Reliance fresh                                        Page 6
Inventory management and logistics:

The shelves are refilled during the mid day (generally around 2:00 to
3:00) when the customer pressure is very less. As per the store manager
they generally refilled the stores twice or thrice in a week depending
upon the sales of the products. Like as the fruits and vegetables are
highly perishable items so the stock is relatively less and are refilled
more often than others. The vegetables are kept in a low volume as they
stay only for a day, whereas the fruits kept in specially designed shelves
where the fruits stay fresh for a longer time.

As per the store manager, they have a particular source for all the
reliance stores in Indore from which the products are distributed in each
of the reliance fresh store according to the need and requirements.

Though he has not disclosed the overall inbound logistics strategy in his
store, he told the reliance fresh’s inbound logistics strategy all over the
India. They have their own Reliance Logistics Ltd. Part of Reliance
Industries Ltd, currently handles Reliance retail’s logistics service.




MIS report on Reliance fresh                                          Page 7
Recommendation (as per observations at selected location)
       Reliance fresh super value must concentrate more on the fruit &
       vegetable section.
       With reference to the Indian shopping mentality the store has to
       ensure that the quality of fruits & vegetables is to be maintained as
       per the unorganized retail sector.
       Reliance fresh must concentrate more on Customers Service
       Associates (CSA) because of lack of communication with customers.
       If we talk about Indore then there are only 9 Reliance fresh. So the
       company must focus on opening more outlets because they are in
       the business of selling daily fruits & vegetables.



Conclusion:
With the growing retail concept Reliance Fresh is really a fresh air in the
arena of vegetable and fruit market. But due to some political and local
problems all Reliance stores are not allowed to keep vegetables and fruits
according to their goal.

                                      




MIS report on Reliance fresh                                           Page 8

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Rreliance fresh

  • 1. 2012 MIS report on Reliance Fresh The project report describes the study conducted on retail sector & their supply chain system. The study was conducted at RELIANCE FRESH located at FOOTI KOOTHI ,INDORE Submitted to:- Submitted by:- Dr. Vishal Khasgiwala Prachi Jain Priya Soni Sunayani Porwal Sapient Institute of Management Studies 7/13/2012
  • 2. DATA collection:_ Primary data: Primary data is collected trough personal observation as well as form the logistic head of the reliance fresh located at footi kothi , Indore. Secondary data: Some data about the reliance fresh is collected through the various e journals, magazines & also from various websites. MIS report on Reliance fresh Page 2
  • 3. Content: 1. About Reliance Fresh………………………………………………. 2. History………………………………………………………………… 3. Growth of Reliance Fresh…………………………………………. 4. Objectives……………………………………………………………. 5. Product availability…………………………………………………. 6. Supply Logistics…………………………………………………….. 7. Inventory management and logistics…………………………… 8. Recommendations………………………………………………….. 9. Conclusion…………………………………………………………... MIS report on Reliance fresh Page 3
  • 4. Introduction of reliance fresh: About Reliance Fresh a convenient store format, is governed by the Mukesh Ambani and is the most important part of Reliance Industries retail Business. Reliance Ltd. has planned to invest more than Rs. 25000 crores in the retail division. It also comprises more than 560 reliance fresh stores all over the country. The outlet sells fresh fruits, staples, dairy products, fresh juice bars, groceries and vegetables. A distinctive Reliance Fresh outlet is around 3000 to 4000 sq. feet and accommodates catchment area of one to three Kilometers. History of Reliance Fresh The Reliance Retail had to face various difficulties before the launch of Reliance fresh, because of the various circumstances prevailing in Orissa, West Bengal and UP, along with the news focusing on the dearth of vegetables and fruits stocks. The retail business of Reliance then minimized its exposure in vegetable and fruit business, as a result established Reliance fresh positioning a pure super market play focusing on various categories like IT, consumer durables, home, FMCG and food. The retail company of Reliance may not supply the vegetables and fruits in a few states, the Reliance Fresh decided to not to race with local wholesalers partly because of the political reasons as well as its incapability to maintain a healthy supply chain. Growth of Reliance Fresh The first ever a Reliance Fresh store was established in Hyderabad, wherein the company, mainly focused on the fresh produced vegetables and fruits at comparatively low price along with an introduction of farm to fork theory. This was the idea, which was anticipated by the company was to take the supply direct from the farmers and then sell straightaway to the MIS report on Reliance fresh Page 4
  • 5. consumers removing the middle-men off the beaten track. Reliance introduced several formats in the marketplace to cater to needs of common people, which includes Reliance Fresh, Reliance Super, Reliance Footprint, Reliance Timeout, Reliance Jewels, Reliance wellness, Reliance Mart and Reliance Digital, to name a few. In addition to this, the Reliance Retail also entered into a treaty with Apple, which is a leading Information Technology company, to set up a series of Apple Specialty Outlets branded as IStore, with its first ever store in Bangalore. With an idea to produce inclusive prosperity and growth for farmers, consumers, small shopkeepers and vendor partners, Reliance Retail was set up in order to lead the foray of Reliance Group into an organized retail. Objectives:- To provide high quality products to its customers. To reduce spoilage through its state of-the-art supply chain & logistic networks. To enrich customer’s shopping experience through customized offer, private labels & ‘value for money’ merchandise. To foster relationship with partners that will create new avenues of value enhancement for customers. To bolster its agribusiness & dairy value chain to support its rapidly expanding store footprint. To ensures fair & timely payments to farmers. Product Availability: Although Reliance Fresh is mainly concerned about stocking fresh vegitables and fruits but due to some political controversy they mainly focus on the household products and FMCG products. The product details are listed below: MIS report on Reliance fresh Page 5
  • 6. Fresh fruits Vegetables Chocolates Confectionaries Cold drinks Freeze items like butter, ice-cream etc. House hold products Toilet items Spices and dry food Office stationeries The product displayed in shelves in such a height so that they can be easily availed by the customers and customers can compare the product specifications and price. Supply Logistics: Current supply chain of Reliance Fresh: Always buy from local farmers, never from the mandies. Established the rural business hubs in many parts of the country. The objective is to make the entire value chain more effective and responsive. LOCAL FARMERS COLLECTION CENTER LINKED WITH CONSORTIUMS (here grading and standardization takes place) RELIANCE FRESH OUTLETS MIS report on Reliance fresh Page 6
  • 7. Inventory management and logistics: The shelves are refilled during the mid day (generally around 2:00 to 3:00) when the customer pressure is very less. As per the store manager they generally refilled the stores twice or thrice in a week depending upon the sales of the products. Like as the fruits and vegetables are highly perishable items so the stock is relatively less and are refilled more often than others. The vegetables are kept in a low volume as they stay only for a day, whereas the fruits kept in specially designed shelves where the fruits stay fresh for a longer time. As per the store manager, they have a particular source for all the reliance stores in Indore from which the products are distributed in each of the reliance fresh store according to the need and requirements. Though he has not disclosed the overall inbound logistics strategy in his store, he told the reliance fresh’s inbound logistics strategy all over the India. They have their own Reliance Logistics Ltd. Part of Reliance Industries Ltd, currently handles Reliance retail’s logistics service. MIS report on Reliance fresh Page 7
  • 8. Recommendation (as per observations at selected location) Reliance fresh super value must concentrate more on the fruit & vegetable section. With reference to the Indian shopping mentality the store has to ensure that the quality of fruits & vegetables is to be maintained as per the unorganized retail sector. Reliance fresh must concentrate more on Customers Service Associates (CSA) because of lack of communication with customers. If we talk about Indore then there are only 9 Reliance fresh. So the company must focus on opening more outlets because they are in the business of selling daily fruits & vegetables. Conclusion: With the growing retail concept Reliance Fresh is really a fresh air in the arena of vegetable and fruit market. But due to some political and local problems all Reliance stores are not allowed to keep vegetables and fruits according to their goal.  MIS report on Reliance fresh Page 8