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SUMMER TRAINING PROJECT REPORT
                                     On
”Understandin the Sales,Logistics and oher operations of Radico Khaitan Ltd”


                                    IN
ACKNOWLEDGEMENT


         My project dealing with “Understandin the sales,logistics and other
operations of Radico Khaitan Ltd” provide me an exposure in the real world of
business. I owe a heart-felt gratefulness to some of the people for being present all
the time whenever any help was required in completion of the report.

At the outset, I would like to thank Mr. K.P.SINGH (Director - Operations) &
Mr. S. Pande (AGM - HR) for giving me the approval to this project in the
organization. I wish to acknowledge the entire HR Team at Radico Khaitan Ltd.
Special appreciation extended to Mr. Ashish Kumar Singh (Executive - HR)
who helped me to shape the direction of my research work. This project would
not have been possible without his help.. and Mr. A RAHMAN[G.M. LOG.]
ASISH PANDY; Mr .ARUN CHAUDHARY

A heartfelt thanks to the respondents surveyed whose ideas, critical insights and
suggestions have been invaluable in the preparation of this report.

Last but not the least a very warm thanks to all the faculty members of Gurukul
Kangri vishvidwalya Haridwar. for providing me Guide lines in summer
training project.
PREFACE

As a part of the partial fulfillment of the MBA programme at Gurukul Kangri ,
Summer Training was undertaken with the RAMPUR DISTILLERY a unit of
RADICO KHAITAN Ltd. RAMPUR (U.P.).


Rampur distillery is one of the biggest distilleries in India and it has working on
SAP technology in the present scenario. And also trying to be a biggest industry
in the Asia. The company has now completed their 50years and now using new
technology day by day to improving the quality of the product.


The purpose of the training was to have the practical experience of working in a
Logistics Departmentand to have the exposure to the various management
practices in the field of working in Logistics Dept.
PART-1
COMPANY PROFILE


Radico Khaitan is one of India's oldest and largest liquor manufacturers. Formerly
known as Rampur Distillery, which was established in 1943. It was only in 1999,
that Radico decided to launch and market its own brands, thereby embarking on a
period of phenomenal growth. To further boost its production capacity of bottled
and branded products, the company has tied up with bottling units in various parts
of the country.

                              THE BRAND STORY

Radico Khaitan Ltd today has three millionaire brands in its portfolio. Radico's
flagship brand, 8 PM Whisky, launched in 1999, was a runaway success. In the
first year alone, it sold one million cases - a record for any Indian or foreign brand
operating in India. This also made it the first brand in the liquor industry to make
it to the Limca Book of Records.

Drinks International, the acclaimed international liquor magazine has rated 8 PM
whisky as the fastest growing whisky in the world in the regional category (2004-
05). The other millionaire brands are: Contessa Rum has won the prestigious
Monde Selection award for its overall quality for the past three executive years.

It has a large market share in the defense market... Old Admiral Brandy has also
been rated by Drinks International as the fastest growing Brandy in the world in
the regional category (2004-05 and 2005-06) also it has won the Monde Selection
award for its overall quality in 2004-05.

Today, Radico Khaitan has brands that straddle almost every market segment -
whisky, rum, brandy, vodka & gin - and price category. Our fine blends,
consistent quality, distinctive packaging and superior value have resonated with
customers.
THE INTERNATIONAL LINK

In a significant move aimed at catapulting the Indian liquor industry to
international standards, Radico Khaitan set up its international division - Radico
International - to distribute and market some of the world's best-known liquor
brands, including Wines from Ernest & Julio Gallo (makers of the world's largest-
selling wine, Carlo Rossi), Famous Grouse Whisky (from Highland Distillers).




                            STRONG FINANCIALS

Radico Khaitan is not just a company of great brands; it is a company of great
financials. The equity shares of the company are quoted on the Mumbai and
National Stock Exchanges, and the company has more than 35,000 shareholders.
It is the most profitable company in the domestic liquor industry.
VISION OF THE COMPANY




MISSION OF THE COMPANY
RADICO'S CORE VALUES

Radico's Core Values are aimed at developing a customer-focused, high-
performance organization, which creates value for all its stakeholders.

FOCUS ON CUSTOMER

Radico Khaitan believes that customer focus is very important. We give
importance to deliver both value & quality to the customer.

EXCELLENCE

Radico will strive for excellence in whatever we do. Radico will take the right
path to do whatever we do and excel in the same.

RESPECT FOR PEOPLE

Radico will value differences in individual perspectives. Radico want individuals
to dream, create and experiment in pursuit of opportunities and achieve leadership
through teamwork.

                                 INNOVATION
Radico will constantly innovate and strive to better our processes, products,
services and management practices.




CORPORATE GOVERNANCE

Corporate Governance at Radico means the framework to encourage the efficient
use of resources and equally to require accountability for the stewardship of those
resources. The aim is to align as nearly as possible the interests of individuals,
corporations and society.

   •   Ernst & Young are the internal auditors and strategic advisors and help to
       improve its operational efficiencies and control procedures.
   •   Board of Directors consisting of eminent independent professionals.
   •   Strict adherence to the accounting standards lay down by the Institute of
       Chartered Accountants of India.
   •   Special attention being paid to the investors relations. Regular
       communication to the investors about the business developments and
       important vents impacting the operations.
   •   Strict compliance with the requirement of Stock Exchanges, Securities and
       Exchange Board of India and other statutory authorities.
   •   Liberal disclosures in the balance sheet over and above those required by
       the regulatory authorities.
CORPORATE SOCIAL RESPONSIBILITY PROGRAMME

HUNAR

In accordance with Radico's mission to work towards the up-liftment of local
artisans and to promote the UP handicraft, Zardozi and Chikan work it had
launched 'Radico- Chikankari Aur Zardozi Pratiyogita' in association with the
Indian Academy of Art & Culture, U.P.

The competition was organized to bring out the creativity of the artisans and to
look for young talent in the field of Chikankari & Zardozi. The event was
promoted through mobile vans, pamphlet distribution in the areas where the
artisans live. There were two levels of judging eminent personalities from
Lucknow judged the first level and in the second level Mrs. Jaya Prada, Mrs.
Kiran Khaitan, Mrs. Sucheta Merh & Mr. Swapan both designers from Kolkatta
judged the first three winners.

The artisans were awarded with cash prizes.

The artisans have been empanelled by Radico Khaitan Ltd to form a group called
"HUNAR”. To get employment for the artisans is the cause towards which the
group Hunar is working.




ENVIRONMENT FRIENDLY

Radico Khaitan Ltd is an environment friendly company and follows all the
norms for its production facility at Rampur. It has also been awarded the ISO
9001 certification for the Rampur distillery.
RAMPUR DISTILLERY

Rampur Distillery is one of the largest distilleries in India and a leading
manufacturer of Extra Neutral Alcohol (used in manufacturing Indian Made
foreign Liquor) it also manufacturers Rectified Spirit (used in manufacturing of
lower segments Country Liquor) and manufacturing of Anhydrous Alcohol or
Ethanol or Gasohol (used in Petrol Mixing) and the recent addition of grain
distillery . Today with a production capacity of 60 million liters p. a and with the
recent addition of the grain distillery which has taken the capacity up to 90
million lit p.a. it is one of the largest distilleries in the country The Unit has a
series of firsts to its credit:

It is the first Indian distillery to obtain ISO 9001:2000 certifications. It has
achieved capacity utilization of over 100% in the alcohol plant. It is the first
environment-friendly distillery in the country.

                                     CAPACITY


    •   Molasses Distillery 60 million liters per annum.
    •   Grain Distillery 30 million liters per annum.


    •   Malt Distillery 720 thousand liters per annum.




                              EFFLUENT TREATMENT PLANT


The effluent Treatment Facility in Rampur Distillery is unique in nature when
compared among and in the Industry. The Distillery complies with Zero
Discharge concept set up by CPCB. The treatment has varied by products, which
not only improves operational stability of the plants but also adds on to company's
profitability. Primary Treatment of the Effluent yields Bio Gas, which is used as
fuel in Cogen Boiler to generate steam and then Power through a backpressure
Turbine. The backpressure steam is used again in the Distillation Plant to produce
Extra Neutral Alcohol and Rectified Spirit.




                           ENVIRONMENTALLY FRIENDLY


Meeting out 100% Pollution Control norms, the Treated Effluent is not discharged
outside and in turn is mixed and cured with organic mass like Press Mud of Sugar
Mills and suitable organic manures to manufacture Bio Manure or Bio Compost, a
bio fertilizer used successfully in growing the crop of sugar canes etc.

                              COGENERATION PLANT


The cogeneration plant of Rampur Distillery consist of 26 MT capacity India's
first stand alone Bio Gas fired steam boiler and 2 MW Turbine Generator in
tandem to make Radico Khaitan self reliant on its requirement for power for its
normal operation.

                             BACKWARD INTEGRATION


The very first backward integration project has come in the form of setting up a
fully automatic 750 ml Kidney shape PET bottle manufacturing plant in low cost
and tax benefited area like Uttranchal. The unit started with production rate of 85
lacs bottle per year in October 2004 and is now geared up to produce 255 lacs
PET bottles to cater Radico's own captive consumption of approx. 150 lacs bottle
per year and rest is being sold to outside clients in similar businesses. The unit has
not only eliminated the pressure of PET bottle suppliers but has also provided a
kind of diversified manufacturing base for future business exploration.
OWN BOTTLING UNITS




Rampur Distillery has 14 state-of-the-art bottling lines, including those imported
from Italy, equipped with tunnel bottle washing, filling, sealing and labeling
machines with a capacity to produce 1500 cases (1 case = 12 bottles of 750 ml
each) of liquor in a single shift of operation. Line capacities vary from 750 cases
to 3,000 cases in a shift. To keep pace with the growing demand, Radico Khaitan
has significantly increased its bottling capacity by acquiring/setting up bottling
plants in the states of Rajasthan, Uttranchal and Andhra Pradesh.

   •   Rampur Distillery, Rampur (Uttar Pradesh)
   •   Whytehall (India) Ltd., Rampur (Uttar Pradesh)
   •   Radico Khaitan Ltd., (Uttaranchal)
   •   Radico Khaitan Ltd., Reengus (Rajasthan)
   •   Radico Khaitan Ltd., Hyderabad (Andhra Pradesh)


STRATEGIC BOTTLING UNITS


Radico Khaitan Ltd is working continuously towards increasing its
reach through the strategic bottling units across the country. The
focus underlines comprehensive quality control and enhanced market
penetration. Strategic Bottling Units through out India.
                                     NORTH

      N V Distilleries & Breweries Ltd., (Punjab)

      Gwalior Distillers, Gwalior (Madhya Pradesh)

      Patiala Distillers & Manufacturers Ltd., Baddi (Himachal Pradesh)

      Oakland Bottlers (P) Ltd. (Jammu & Kashmir)
EAST

   Goodhost Liquors (P) Ltd., Patna, (Bihar)

   IFP Agro Industries Ltd., Kolkatta, (West Bengal)

   Seven Sisters Trade & Distilleries (P) Ltd., Guwahati.(Assam)

   Bacchus Bottling (P) Ltd., (Orissa)

   United Brothers Distilleries (P) Ltd., (Arunachal Pradesh)

   Gemini Distilleries (Jharkhand) (P) Ltd., Ranchi, (Jharkhand)


                                  SOUTH
   Kamal Wineries, Hyderabad (Andhra Pradesh)

   Kapitan Distillery, Hyderabad (Andhra Pradesh)

   Ravikumar Distilleries (Pondicherry)

   United Distillery, Calicut, (Kerala)

   Sri Venkateswara Distilleries, Bangalore, (Karnataka)

   BT & FC (P) Ltd., Bangalore, (Karnataka)

   Midas Golden, Chennai, (Tamil Nadu)

   Devicolam Distilleries, Kochi, (Kerala)


                                   WEST

   Tilaknagar Industries Ltd, Tilaknagar, (Maharashtra)

   Gemini Distilleries (P) Ltd. (Goa)

   Ajantha Distilleries Ltd, Nagpur. (Maharashtra)
   Welcome Distilleries, Bilaspur. (Chattisgarh)

       Silverstar Distillery, (Daman)


HUMAN RESOURCES

Radico Khaitan believes that the growth of a company depends on the collective
efforts of its employees. The Human Resources Department seeks to create an
environment that fosters the emergence of empowered leaders. We hire people
who have the fire to grow, the potential to lead and the zeal to excel. All new
hires undergo a 7-day induction and familiarization program.

MARKETING

In the short span of time, Radico Khaitan has been able to make the transition
from being a manufacturer of Extra Neutral Alcohol to being a company with a
portfolio of hugely successful brands. Our understanding of market demands and
ability to satisfy consumer needs has been responsible for this. Consistently
superior quality, a wide range of products, innovative packaging, pricing to suit
all pockets, a nation-wide distribution network that covers 95% of retail points,
clubs and bars in the country, effective advertising, and popular events and
promotions. All these elements go to making up Radico Khaitan's winning
marketing mix.

SALES

Radico Khaitan’s young and enthusiastic sales force services retail outlets across
the country, understanding requirements and fulfilling them, thereby developing
enduring relationships. The Sales team comprises professionals with vast domain
expertise, years of experience in the liquor industry and a deep understanding of
varied markets.
ACCOUNTS FINANCE

Radico Khaitan Ltd has been continuously showing growth over previous years
and registering healthy profits. This has been made possible through the steps
taken by the Finance department like bringing down the cost of borrowings
substantially. The Efforts of the finance department has made Radico one of the
best prospects for timely repayment of debts and providing the highest safety of
funds for lenders. The department also has excellent financial management with
strong fundamentals in the short and medium term.

PRODUCTION

The Production Department is responsible for operations in Radico Khaitan's
bottling units. It works towards the smooth production and delivery of all the
Radico Khaitan brands as per market needs.

                                     BRANDS


Radico made its foray into the International Market a few
years back and today Radico's brands are present in more than
30 countries. Radico has been consistently providing excellent
quality in terms of both product and packaging along with
outstanding service. Two of our brands 8 PM Whisky and Old
Admiral brandy featured in Drinks International Magazine as
the fastest growing brands in the world in the regional category. Three of our
brands, Contessa XXX Rum, 8 PM Bermuda White Rum and Old Admiral brandy
have won Silver Medal in prestigious Monde Selection for overall quality Our
brands have already attained the leadership position in many countries.
Radico Khaitan is now breaking into newer and sophisticated markets with liquor
brands developed to appeal to a wider palate.

SOME BRANDS OF THE COMPANY
Summer training   sales & logistics (1)
Summer training   sales & logistics (1)
BRANDS OF THE COMPANY

                                     WHISKY
The base for Indian whisky is ENA. The other ingredients used are matured
Indian malt sprit, Scotch whisky concentrate, added flavors, and caramel & dm
water. All these ingredients are not added at a time but different stages.


   1. Special appointment whisky

   2. 8pm Royale whisky

   3. Whitefield whisky

   4. 8pm whisky

   5. Radico gold supreme whisky

   6. Radico gold whisky

   7. Contessa deluxe whisky

   8. Rampur no.1 whisky

                                     BRANDY
Brandy is a Dutch word means (Brunt Wine). In India we make brandy by
blending with ENA, matured grape spirit, added flavoring.


   1. Contessa Brandy

   2. Old Admiral Brandy

   3. White Field Brandy

    4    8pm Excellency Brandy
RUM
Rum is distilled liquor made from sugarcane products, cane juice spirit along with
base ENA and flavoring.

   1. Contessa rum

   2. Largest Rum

   3. 8pm Bermuda

   4. Black Cat Rum

   5. Rampur No.1

   6. Big Hit Rum

   7. Contessa White Rum

                                       GIN
Gin is alcoholic liquor obtained by distilling grain mash or redistilling sprit with
botanicals such as juniper berries, angelica, lemon and orange peels, cassia bark,
coriander and cardamom.


   1. Contessa Gene

   2. Big Hit Gene

   3. Magic Moment Gene



RAW MATERIAL

For the production of alcohol, materials containing sustaining amount of glucose
Content can be used as a raw material. But for commercial production, common
raw materials used are as follows:
   1. Molasses

   2. Cane Juice
3. Sweet Potato

   4. Sugar Beet

  5. Grain (Barley, Rice)
FUNCTIONS


    Purchasing of packing materials, engineering goods, and logistics etc.
      function is done here.


    The packing materials include carton, monochrome, bottles, and caps label
      etc.


    The procurement of packing materials is done on the basis of


             1. Forecast from marketing department for the month.

             2. Tentative planning based on last month.

             3. Production schedule.

    Packing material accounts for 80% of all other. Material and it is the main
      requirement for distillery. Hence it is essential to have a proper stock of
      the material as per the requirement.


    Label is the most critical packing material as it involves different labels
      for the different states as the rules and regulations are different in different
      states.


    For finalization the vendor for packing material purchase committee
      where vendor is introduced and a vendor assessment from is made does it.


    There are number of suppliers for packing material and purchasing is done
      by share of business.
 For the engineering material indenter raise the indent and the quotations
   are called for the same. Then comparative is done and after that finalizing
   the terms and conditions purchase order is released.

 Logistics of country liquor is taken care of here. The procedure for
   dispatch of country liquor is that the marketing department sends indent
   according to the demand.


 For the country liquor it is the policy of state govt. that distillers should
   have their own depots and this depots will sell to retail vendors who will
   sell called as CL2A.
 Transportation annual rate contract is done and the documents that are to
   be carried along with the CL includes excise pass PD25, invoice and
   challan.




                          THE REPORTS ARE


       1. Daily GPMRN register.


       2. Daily statement for GPMRN sent for quality check.


       3. Daily indent control registers.


       4. Available stock item wise.


       5. Complete item tracking.


       6. Tracking of planning, scheduling and replenishment of inventory.
7. Item wise list of pending indents.


8. Analysis reports.


9. None / slow moving items analysis.
MOLASSES PROCUREMENT

For the purchase of molasses, final decision taken by molasses purchase committee,
Headed by Mr. K.P.Singh (DIRECTOR PRODUCTION), Mr. Ajay Agarwal
(Sr.VP Accounts & commercial), and Mr. J. Chaterjee (Sr. Mgr. Commercial).


There are 6 storage tanks of molasses in Rampur Distillery. The total storage
capacity is 6.35 lack Quintals. There is a requirement of 27 lakhs quintal/year of
molasses by Rampur Distillery.


Molasses is the mother liquor left after the crystallization of sugar usually contains
40 – 60 % sugar, which remains uncrystallized. It is the basic raw material used in a
distillery.


The department role is to have good coordination with all nearby sugar mills and
find out the best pricing to suit our requirement. The price variation in the molasses
affects both our alcohol sales price and production cost of IMFL and CL, hence
becomes focus point in reduction of production cost.


Molasses purchase committee is formed to negotiate and finalize on the rates.
Chemist are sent to the loading point to have check on the quality of the molasses
loaded and composite and separated collected samples are analyzed in the lab to
check TRS and other parameters:



                                                                                    25
TRS standard set by the Rampur Distillery: -
  • In Nov, Dec, Jan – Not less than 44.4 %
  • In Feb, Mar, Apr – Not less than 43.0 %
  • In May, Jun, July – Not less than 41.0 %
  • In Aug, Sep, Oct – Not less than 40.0 %


Grades of Molasses: -


  • “A” Grade: - 50 % and above Molasses TRS.
  • “B” Grade: - 44 % to 49.9 % Molasses TRS.
  • “C” Grade: - 40 % to 43.9% Molasses TRS.
  • Below 40 % TRS is treated as Below Grade.




BLENDING
This department is headed by Mr.Anup Barikh (G.M. Blending) and assisted by
Mr. Rambir Singh (Dyt. Manager Blending) and Mr. Mukesh Sharma




                                                                         26
In blending process ENA is reduced by mixing DM water and mixed with specific
ingredients including particular Synthetic Essences, Caramel, Special Spirit, Vetted
Malt Spirit, Matured Malt Spirit in specific volumes to produce a particular taste
and character concentration in order to prepare a particular characteristic liquor.


Caramel is standardized coloring matter (reddish brow to yellow) used to color the
liquors like Rum, Brandy, Whisky. It is prepared by controlling heat of sugar under
specified condition.



Fermentation And Distillation: -


This department is headed by Mr Devendra Singh,(VP Production)
Mr Rajeev Rahlan (Sr. Manager-prod.), Mr Ompal Singh (Manager).


Fermentation is the breakdown of glucose into ethyl alcohol and carbon-di-oxide
by enzymes in yeast, in the absence of oxygen. Fermentation works best if the yeast
and glucose solution are kept under control.


The fermentation system takes about 22-30 hours to complete in a batch process
with yeast culture.
Step 1: Yeast vessels are the vessels used for yeast culture build up under highly
acidic condition. These are closed vessels.
Step 2: Prefermenters are open, mild steel vessels, providing mild aerobic
conditions.
Step 3: Coil cooling is providing to the fermenters to maintain suitable temperature
to draw highest yeast activity.


                                                                                      27
Step 4: Fermented wash contains 15-18 % ethyl alcohol.


COMPUTER DEPARTMENT

The computer department headed by Mr. Neeraj Srivastav – AGM-IT and assisted
     by Mr. Vipin Agarwal – Dy. Mgr -IT


There are around 80 computers in Rampur Distillery and all are LAN connected
           with Outlook expressed on desktop for exchanging mails. The
           management of the company has taken a major IT initiative on 20 th
           September 2002. For its Enterprise Wide Information System the
           company has chosen world no. 1 package SAP (SYSTEMS
           APPLICATION PRODUCT OF DATA PROCESSING) To power the
           management of the business. All business units of Radico Khaitan Ltd.
           Including HO Delhi, all tie up units, regional offices, warehouses etc.
           now powered by SAP.


Right now out of 11 modules of SAP has been implemented in Rampur Distillery
           in following department.


                Finance Department
                Accounts Department
                Material Department
                Sales & Distribution Department
                Production & Planning Department
                Human Resource Department



                                                                                28
QUALITY ASSURANCE DEPARTMENT
Quality assurance department headed Sandeep Kumar Lamba-Dyt. Manager QA.
Quality Assurance department is very important department because it keep
controls on the input (packing material) and the output (IMFL & CL)
Packing material go through from certain parameters finalized by higher authority,
consist following:
    Bottles
          • Glass Bottle
          • Pet Bottle
    Caps
    Boxes
    Monocartons
    Labels
    Glue
    Packing Tape
Following parameters checked by QA Officers:
       Bottles fully filled or not / Leakage
       Any glass particles in bottles
       Other foreign particles/ Color
       Without caps/ Dirty bottles
       Proper sealing or not
       Labeling


                                                                                29
 Numbers of bottles in boxes




COMMERCIAL (ALCOHOL MARKETING)

This department in Rampur Distillery headed by Mr D.Satheesan (President
Alcohol) and Mr. Rajesh Singh (Dyt. Manager). This department deals with sales
of following types of alcohols to other units.
      ENA – Extra Neutral Alcohol
      RS – Rectified Spirit
      SDS – Special Denatured Spirit
      VMS – Vetted Malt Spirit
      CJS – Cane Juice Spirit
      MMS – Matured Malt Spirit
      HBS – High Bouqut Spirit
      MRS – Matured Rum Spirit


Different taxes and levels on sales of spirit levied by UP Excise as follows
SPIRIT TYPE                       INSIDE UP                  OUTSIDE UP
ENA                               Rs. 0.80 / BL              Rs. 3.00 / BL
RS                                Rs. 0.80 / BL              Rs. 2.50 / BL
SDS (With in the State)
        Purchase Tax – Rs. 0.80 / BL
        License Fee – Rs. 0.40 / BL
        Denaturation Fee – Rs. 0.15 / BL (for maximum purchase of 10 lack      BL
        Spirit)



                                                                               30
Process Of Sales: -


                 Enquiry (Generated by the
                         customer)




                      Consent Letter




                   NOC / Permit through
                 concerned Excise officials
                        of custom




                  Application to Excise
                 Commissioner, Allahabad




                  Allotment (Permit-duty)




                        Sales Done
                                              31
Rampur Distillery enjoys the credit of one of the best suppliers of ENA & RS,
since it supplies consistently best quality spirit in India and overseas.
Our major customers for ENA, RS, & SDS are: -
    Balbir Distillery Ltd – Solan
    Bengali Chemical & Pharmaceuticals – Calcutta
    Central Distillery & Breweries Ltd – Meerut
    United spirit Ltd – Rosa
    United spirit Ltd – Meerut
    Mohan Meakin Ltd. – Ghaziabad
    United spirit Ltd – Hyderabad
    SBL Ltd. – Ghaziabad
    Trident Alco – Chem Ltd. – Ludhiana
    UB Group – Bangalore
    United Distillery – Calicut
    Ghaziabad Organics Ltd. – Ghaziabad
    Indian Glycols Ltd. – Kashipur
    VAM


This department is also responsible for washing and cleaning the tankers of the
customers for quality satisfaction and dispatch the order with in the time bound
frame.




                                                                              32
SALES DEPARTMENT


Mr. A Rehman, Joint G.M (logistics & dispatches), Mr.Alok Rastogi & Mr. Sanjay
Kumar saxena (Sr. comm.. officer) looks the sales department. This department
handles complete documentation, liasoning with excise officials & documentation,
invoice, chalan required for dispatch of IMFL –civil, grain and defense along with
several kind of spirits like ENA, ETHANOL, VMS etc. Container clearance and
stuffing for overseas export is also handled by it.


This department also looks into the operation of getting the manufactured goods i.e.
IMFL & CL, dispatched to the specific destination inside and outside of U.P. with
in time bound frame.
NAME OF PARTY IN UP
1)INDEX FOODS
2) AMETHYST TOWN PLANERS
3)FLORA AND FAUNA HOUSING
4)MAY FAIR


SAP MATERIAL CODE USING IN RAMPUR DISTILLERY
1001528
101389
101564
104145
104146 ETC.




                                                                                  33
TRANSPORTERS WORKING FOR RAMPUR DISTILLERY


1) TIME AND SAPACE HAULERS PVT. LTD.DELHI


2) SARASWATI TRANSPORT CO. DELHI


3) S.P GOLDEN PVT. LTD. MUMBAI


4) COSMO CARRYING (PVT)LTD. HYDERABAD.




BILL USING IN RAMPUR DISTILLERY FOR IMFL , COUNTRY LIQUOR AND
STOCK TRANSFER




                                                           34
U.P.T.T    : RR 0000377 Dt.    14.08.1967                                           PH. 0595-2353277
C.S.T      : RR 5000435 Dt. 05.07.1957            DELIEVERY CHALLAN                 Gram:      RADICO
TIN NO 09260800001
RAMPUR DISTILLERY                    CHALLAN NO                      000003         Date :      03.06.2012
(A UNIT OF RADICO KHAITAN LTD)       E.C.ORDER NO.                    5396          Date :      18.05.2012
Regd Office & Works : RAMPUR (U.P.) EXP/FLB 11 PASS NO.                88           Date :      03.06.2012
CONSIGNEE:-                          G.R.NO.                         17747          Date :      03.06.2012
VIJAY TRADERS FL1-7                  Goods Delivered/Despatches Through:-
BHOGAON NORTH                        M/S TASH- DELHI
SHOLA PUR                            From RAMPUR To              SOLAPUR            In Cases             412
CST NO-27850601511 C
TIN/LST NO-27850601511 V
                                                       QTY.      RATE                           AMOUNT
           P A R T I C U L A R ' S                     (IN B.L.)                                RS. P.

MASTERSTROKE DW 42.8% 750ML MAHARASTRA                            20      1302.89                    26057.8
MASTERSTROKE DW 42.8% 375ML MAHARASTRA                            30      1452.36                    43570.8
MASTERSTROKE DW 42.8% 180ML MAHARASTRA                           304      1400.07                  425621.28
MASTERSTROKE DW 42.8% 90MLPET MAHARASTRA                          58      1350.73                   78342.34




                              TOTAL C/S                    412                                     573592.22


RS. FIVE LAC SEVENTY THREE THOUSAND FIVE
HUNDRED                                                 TOTAL                                      573592.22
NINTY TWO AND TWENTY TWO PAISA                          ROUNDING OFF +/-                                   0
TRUCK NO-- UP22T-1427                                   GRAND TOTAL                                573592.22
1. All disputes shall be subject to the jurisdiction at Rampur (U.P.).
2. Central Sales Tax charged @ 2% subject to the CST declaration form C/D.
3. In case C/D form is not furnished,addictional sales tax alongwith interest as applicable
in U.P. shall be charged.
E.& O.E.                                                           FOR RAMPUR DISTILLERY
                                                                   (A UNIT OF RADICO KHAITAN LTD)




Prepared By                   Checked By                           AUTHORISED SIGNATORY


                                                                                                  35
36
U.P.T.T     : RR 0000377 Dt.    14.08.1967                                          PH. 0595-2353277
C.S.T      BOTTLING DEPARTMENT
           : RR 5000435 Dt. 05.07.1957
TIN NO 09260800001
                                                  DELIEVERY CHALLAN                 Gram:      RADICO

RAMPUR DISTILLERY                    CHALLAN NO                      000003         Date :      03.01.09
(A UNIT OF RADICO KHAITAN LTD)       E.C.ORDER NO.                    5396          Date :      18.12.08
Regd Office & Works : RAMPUR (U.P.) EXP/FLB 11 PASS NO.                88           Date :      03.01.09
CONSIGNEE:-                          G.R.NO.                         17747          Date :      03.01.09
VIJAY TRADERS FL1-7                  Goods Delivered/Despatches Through:-
BHOGAON NORTH                        M/S TASH- DELHI
SHOLA PUR                            From RAMPUR To              SOLAPUR            In Cases               412
CST NO-27850601511 C
TIN/LST NO-27850601511 V
                                                       QTY.      RATE                           AMOUNT
           P A R T I C U L A R ' S                     (IN B.L.)                                RS. P.

MASTERSTROKE DW 42.8% 750ML MAHARASTRA                            20      1302.89                    26057.8
MASTERSTROKE DW 42.8% 375ML MAHARASTRA                            30      1452.36                    43570.8
MASTERSTROKE DW 42.8% 180ML MAHARASTRA                           304      1400.07                  425621.28
MASTERSTROKE DW 42.8% 90MLPET MAHARASTRA                          58      1350.73                   78342.34




                               TOTAL C/S                   412                                     573592.22


RS. FIVE LAC SEVENTY THREE THOUSAND FIVE
HUNDRED                                                 TOTAL                                      573592.22
NINTY TWO AND TWENTY TWO PAISA                          ROUNDING OFF +/-                                   0
TRUCK NO-- UP22T-1427                                   GRAND TOTAL                                573592.22
1. All disputes shall be subject to the jurisdiction at Rampur (U.P.).
2. Central Sales Tax charged @ 2% subject to the CST declaration form C/D.
3. In case C/D form is not furnished,addictional sales tax alongwith interest as applicable
in U.P. shall be charged.
E.& O.E.                                                           FOR RAMPUR DISTILLERY
                                                                   (A UNIT OF RADICO KHAITAN LTD)




Prepared By                    Checked By                          AUTHORISED SIGNATORY
                                                                                                  37
Bottling department is the core department of the distillery. Rampur Distillery has
the best and automated bottling lines to produce potable liquor (IMFL & CL).


The bottling department headed by Mr. S K Bhatt (Sr.Mgr.- Mfg.), Mr Satendra
Pawar (Manager Production), and several other chemists. Bottling Maintenance
department is responsible for the proper maintt and functioning of the m/cs and this
department is supervised by Mr.G.B.Singh (Dy. Manager) .


There are three bottling hall serving for Civil & Defense Requirement.


Bottling Halls



Civil Bottling Hall        Defense Bottling Hall        New Bottling Hall
                                Or Rum Hall
New Bottling Hall: -

This bottling hall has 4 lines and caters for Country Liquor requirement.
Line 1:
      Type – Fully Automatic
      Rated Speed – 240 bmp
      Filling – 40 Heads
      Sealing – 10 Heads
      Labeling – 10 Heads


Line 2:
      Type – Fully Automatic


                                                                                  38
Rated Speed – 180 bmp
      Filling – 40 Heads
      Sealing – 8 Heads
      Labeling – 10 Heads
Line 3:
      Type – Semi Automatic
Line 4:
      Type – Semi Automatic




Defense Bottling Hall: -

This bottling hall is also called as Rum House, because both 2 lines dedicated to
Rums i.e. Contessa & Black Cat Rum serving for Defense Requirement.


Line 1:
      Type – Fully Automatic
      Rated Speed – 240 bmp
      Filling – 40 Heads
      Sealing – 8 Heads
      Labeling – 10 Heads
Line 2:
      Type – Semi Automatic
      Filling – 12 Heads
      Sealing – Semi Auto Sealing




                                                                               39
Labeling – 10 Heads


Civil Bottling Hall: -


This bottling hall consists of 8 lines, Line 1 & 2 for Production of Country Liquor,
Line 3, 4, 5, & 6 for IMFL, and Line 7 & 8 dedicated fro 8 PM production in all
size.


Line 1 & 2:
        Type – Fully Automatic
        Rated Speed – 240 bmp
        Filling – 40 Heads
        Sealing – 10 Heads
        Labeling – 10 Heads

Line 3:
        Rated Speed – 120 bmp
        Filling – 20 Heads
        Sealing – 8 Heads
        Labeling – Manual

Line 4:
        Rated Speed – 120 bmp
        Filling – 20 Heads
        Sealing – 8 Heads
        Labeling – Automatic




                                                                                  40
Line 5 & 6:
      Type – Semi Automatic
      Filling – In line 5 – 12 heads, in line 6 – 6 heads
      Sealing – Manual
      Labeling – Manual

Line 7 & 8:
      Type – Fully Automatic
      Filling – 30 Heads
      Sealing – 5 Heads
      Labeling – MultiMatic




There are five important steps in bottling house:


   1. Rinsing
   2. Filling
   3. Inspection: There are 2 visually inspection of the bottles. Firstly the
      inspection before the filling and secondly after the sealing.


      1st Stage:
                   • Foreign particles in bottle
                   • Dirty bottle
                   • Crack in bottle


      2nd Stage
                   • Leakage


                                                                           41
• Proper sealing or not
                 • Half filled or over filled
                 • Without caps
                 • Colour


   4. Labeling: - After the inspection of Bottles the labeling are required for the
      identity of the product such as:
      Brand name, % of alcohol, Mrp, Batch no., Mfg date area of sale etc
   5. Packaging: The last stage in the line is packaging. For packaging we use
      cartons




STORE & PURCHASE DEPARTMENT
The store & purchase department headed by Mr. Ajay Sharma (GM Materials), Mr.
Sanjay Guru (Dy. Mgr. Mtrls.)
Mr. Neeraj Agrawal (Asst. Mgr.-stores). The main function of this department is
Purchase, Storage, Availability of materials, Development of vendors and
continuous co-ordination with all other departments for minimum/ maximum
inventory level of storage.

Store is a place where all the materials is kept and then distributed to the concerned
department on requirement basis.


Purchase Department



                                                                                    42
Engineering Purchase                         Packing Material Purchase



Other than this the purchase department has a vital role in reducing the cost of
production by controlling minimum inventory levels, proper check on usage of
material issued to have control on wastages, development of best vendor nearby
and further reducing cost of transportation, Business allocations, Co-ordination
with accounts department for realization of bill in time.




Steps For Purchase: -




                              From consumer department showing the urgency
1. Purchase Indent            and details of application of material.

                              Generated by stores department to know the rates
2. Enquiry                    and availability of the material in the market.

                              Vendors price rating.
3. Quotation

4. Comparative Sheet          After receiving more than 4 quotations stores
                              prepare comparative sheet showing the details viz
                              rates, specifications and lowest vendor selection


                                                                                  43
list.

                          Looking at the comparative statement lowest and
5. Call for Vendor        genuine party is called for negotiations.

                          Selection and placing of purchase order, which
                          mentions rates and terms and conditions of
6. Purchase Order
                          supply.




Steps For Store Management: -


   • Receive the material at gate along with relevant challan / invoice
      from supplier.
   • Inform the concerned user / store personal about arrival of the
      material.
   • After verification allow the vehicle to enter inside the premises.
   • Verify the quantity in challan of vendor against purchase order.
   • Prepare Material Receipt Note (MRP) and verify the nos.
   • If any damage is observed at the time record the remarks in MRN.
   • Inform the QA or concerned user department for verification of the
      product.
   • If the material is found nonconforming due to quality or quantity
      take appropriate action.


                                                                            44
• Transfer the material to designated location.
   • Send the original bill and challan to accounts and keep the records.
   • Receive the issue slip. Issue the material.
   • Insure adequate stock rotation First In First Out (FIFO) method.




GRAIN SPIRIT PLANT


GSP department is headed by VP Mr. Devendra Singh, assisted by Mr.Rajiv
Ralhan (Sr.Mgr.-prod.), Mr. Satish Kumar (Asst.Mgr – prod.) Mr. Satendra Panwar
( Manager-Botling & Prodn.)


In grain spirit plant the basic raw material is grains. Grains that are having the
starch are first converted into sugar then alcohol is produced by it.
Alcohol produced by grains is of higher quality than the one which is produced by
molasses. The alcohol produced here is exported.


In the process, the grains are first grinded and the powder so obtained is mixed with
water, which forms slurry. This slurry is then put into the cooker for cooking where
the steam is passed at the rate of 8kg/cm square at 190 degree centigrade.
Now it is transferred in liquification tank where the temperature is maintained at
90 degree centigrade and the yeast (alpha-amylase) is added. Here we get dextrin.
Dextrin so obtained is transferred into saccrification tank where the yeast
(amyloglucoside) is added. This saccrified slurry is put for fermentation with baker
yeast and leave for about 50 hrs. Hence we get alcohol of 8 – 9 %.

                                                                                    45
Again the 8-9% alcohol obtained is put into amalyser added with steam and we get
45-50% of alcohol


.




                         GRAIN SPIRIT PLANT
The newly set up grain spirit plant where rectified spirit is extracted from grains
through the process of liquefaction and scarification



Grain(starch)                        Sugar                         alcohol




Powder + water                                                        Cooking
                                                                      125 c




                                                                       liquification
                                                                          90%




Scarification    <-----------------------------------------------------------


                                                                                       46
Scarified slurry



                               Baker yeast




                   Fermentor +yeast


                   yeast
Molasses + water                      fermented wash




     CONCEPT OF LOGISTICS ARRANGEMENTS



                                                       47
Logistics is the management of the flow of goods, information and other resources, including
energy and people, between the point of origin and the point of consumption in order to meet
the requirements of consumers (frequently, and originally, military organizations). Logistics
involve the integration of information, transportation, inventory, warehousing, material-
handling, and packaging.

The term "logistics" originates from the ancient Greek "λόγος" ("logos"—"ratio, word,
calculation, reason, speech, oration").

The logistics chain includes the owners (wholesalers & retailers), manufacturers, agents &
transportation channels, which an item passes through between initial manufacture & final
purchase by a consumer. At each stage, goods belong (as assets) to the seller until the buyer
accepts them.


Logistics management:

Logistics management is that part of the supply chain which plans, implements and controls
the efficient, effective forward and reverse flow and storage of goods, services and related
information between the point of origin and the point of consumption in order to meet
customers' requirements. A professional working in the field of logistics management is
called a logistician.


Business logistics:

Logistics as a business concept evolved only in the 1950s. This was mainly due to the
increasing complexity of supplying one's business with materials and shipping out products in
an increasingly globalized supply chain, calling for experts in the field who are called Supply
Chain Logisticians. This can be defined as having the right item in the right quantity at the
right time at the right place for the right price and is the science of process and incorporates
all industry sectors. The goal of logistics work is to manage the fruition of project life cycles,
supply chains and resultant efficiencies.




                                                                                               48
In business, logistics may have either internal focus (inbound logistics), or external focus
(outbound logistics) covering the flow and storage of materials from point of origin to point of
consumption (see supply chain management). The main functions of a qualified logistician
include inventory management, purchasing, transportation, warehousing, consultation and the
organizing and planning of these activities. Logisticians combine a professional knowledge of
each of these functions so that there is a coordination of resources in an organization. There
are two fundamentally different forms of logistics. One optimizes a steady flow of material
through a network of transport links and storage nodes. The other coordinates a sequence of
resources to carry out some project.


Production logistics:

 The term is used for describing logistics processes within an industry. The purpose of
production logistics is to ensure that each machine and workstation is being fed with the right
product in the right quantity and quality at the right point in time.

The issue is not the transportation itself, but to streamline and control the flow through the
value adding processes and eliminates non-value adding ones. Production logistics can be
applied in existing as well as new plants. Manufacturing in an existing plant is a constantly
changing process. Machines are exchanged and new ones added, which gives the opportunity
to improve the production logistics system accordingly. Production logistics provides the
means to achieve customer response and capital efficiency.

Production logistics is getting more and more important with the decreasing batch sizes. In
many industries (e.g. mobile phone) batch size one is the short term aim. This way, even a
single customer demand can be fulfilled in an efficient way. Track and tracing, which is an
essential part of production logistics - due to product safety and product reliability issues - is
also gaining importance especially in the automotive and the medical industry.




                                                                                               49
CONCEPT OF SUPPLY CHAIN MANAGEMENT

Supply chain management (SCM) is the process of planning, implementing and controlling
the operations of the supply chain as efficiently as possible. Supply Chain Management spans
all movement and storage of raw materials, work-in-process inventory, and finished goods
from point-of-origin to point-of-consumption.

The definition of Supply Chain Management encompasses the planning and management of
all activities involved in sourcing, procurement, conversion, and logistics management
activities. Importantly, it also includes coordination and collaboration with channel partners,
which can be suppliers, intermediaries, third-party service providers, and customers. In
essence, Supply Chain Management integrates supply and demand management within and
across companies. More recently, the loosely coupled, self-organizing network of businesses
that cooperates to provide product and service offerings has been called the Extended
Enterprise.

Supply chain management must address the following problems:

   •   Distribution Network Configuration: Number, location and network missions of
       suppliers, production facilities, distribution centers, warehouses, cross-docks and
       customers.
   •   Distribution Strategy: Including questions of operating control (centralized,
       decentralized or shared); delivery scheme (e.g., direct shipment, pool point shipping,
       Cross docking, DSD (direct store delivery), closed loop shipping); mode of
       transportation (e.g., motor carrier, including truckload, LTL, parcel; railroad;
       intermodal, including TOFC and COFC; ocean freight; airfreight); replenishment
       strategy (e.g., pull, push or hybrid); and transportation control (e.g., owner-operated,
       private carrier, common carrier, contract carrier, or 3PL).
   •   Information: Integration of and other processes through the supply chain to share
       valuable information, including demand signals, forecasts, inventory, transportation,
       and potential collaboration etc.




                                                                                            50
•   Inventory Management: Quantity and location of inventory including raw materials,
       work-in-process and finished goods.
   •   Cash-Flow: Arranging the payment terms and the methodologies for exchanging funds
       across entities within the supply chain.

Supply chain execution is managing and coordinating the movement of materials, information
and funds across the supply chain. The flow is bi-directional.


Activities/functions

Supply chain management is a cross-functional approach to managing the movement of raw
materials into an organization, certain aspects of the internal processing of materials into
finished goods, and then the movement of finished goods out of the organization toward the
end-consumer. As organizations strive to focus on core competencies and becoming more
flexible, they have reduced their ownership of raw materials sources and distribution
channels. These functions are increasingly being outsourced to other entities that can perform
the activities better or more cost effectively. The effect is to increase the number of
organizations involved in satisfying customer demand, while reducing management control of
daily logistics operations. Less control and more supply chain partners led to the creation of
supply chain management concepts. The purpose of supply chain management is to improve
trust and collaboration among supply chain partners, thus improving inventory visibility and
improving inventory velocity.

The management components of SCM (Supply Chain Management)

The SCM components are the third element of the four-square circulation framework. The
level of integration and management of a business process link is a function of the number
and level, ranging from low to high, of components added to the link (Ellram and Cooper,
1990; Houlihan, 1985). Consequently, adding more management components or increasing
the level of each component can increase the level of integration of the business process link.
The literature on business process reengineering, buyer-supplier relationships and SCM
suggests various possible components that must receive managerial attention when managing



                                                                                            51
supply relationships. Lambert and Cooper (2000) identified the following components which
are:

       •   Planning and control
       •   Work structure
       •   Organization structure
       •   Product flow facility structure
       •   Information flow facility structure
       •   Management methods
       •   Power and leadership structure
       •   Risk and reward structure
       •   Culture and attitude



Reverse Supply Chain Reverse Logistics is the process of planning, implementing and
controlling the efficient, effective in bound flow and storage of secondary goods and related
information opposite to the traditional supply chain direction for the purpose of recovering
value or proper disposal. Reverse logistics is also referred to as "Aftermarket Customer
Services". In other words, anytime money is taken from a company's Warranty Reserve or
Service Logistics budget that is a Reverse Logistics operation.




                                  Project Work Undertaken



                                                                                                52
Objectives of the Study

The major objective of the study were

       Primary objective

            To study logistic handling procedures.

            To do a comparative market study of different brands

            To study the main factors affecting the logistic services , communication

               pattern between the two and in the dealer network, transport services

       Secondary objectives

            How should orders be handled? (Order Processing)

            Where should stocks be located? (Warehousing)

            How much stock should be held. (Inventory)

            How should goods be shipped? (Transportation)




                              LOGISTICS SERVICES:

Market Logistics

Physical distribution starts at the factory. Managers choose a set of warehouses (stocking

points) and transportation carriers that will deliver the goods to final destinations in the

desired time or at the lowest total cost. Physical distribution has now been expanded into the

broader concept of supply chain management (SCM). Supply chain management starts

before physical distribution: It involves procuring the right inputs (raw materials, components,


                                                                                               53
and capital equipment); converting them efficiently into finished products; and dispatching

them to the final destinations. The supply chain perspective can help a company identify

superior suppliers and distributors and help them improve productivity, which ultimately

brings down the company’s costs.




                               Mission of the Department

To make all Logistic arrangements with full compliance of law and procedures including

quality standards as laid down from time to time and to ensure full satisfaction of all

customers both internal with safe delivery.


INTERNAL WORKING MANUAL

The internal working of the Logistics Department can mainly be understood as:

1) Objective of the jobs:

Objective of the jobs can be divided into its three defended categories. These

categories are as follows:


A) Receiving of goods: The receiving of finished goods (LIQUOR)

by the department includes following things.


        Size / Pattern / Quality: Different types of size of case as 750ml, 375ml,

           180ml,90ml different patterns and various types of brands, which are

           manufactured by the company, are received by this logistics department.




                                                                                              54
(ii) Quantity: The quantities of finished goods i.e. liquor are measured in terms of number

      of units.




                                             Findings




             PROCEDURES OF THE DEPARTMENT

               Procedure Of Handling Logistic

 Headquarter          [Headquarter sends weakly dispatch schedule]


                                                            Production


                                                          Finished
      Raw                                                              Go
                  m
                                                        Quality Checking



            [Warehouse located in the company]          Warehouse

Nepal Export



Road Transportation




                                                                                               55
Export

                    Quality
                                 Co

                                             Sales Depot
                  [Under the company]

Comparative Study – LIQUER MARKET.
1-UB GROUP
2-SEGRAM CO.
Sales Channel of Replacement Market


Sales Channel of Replacement Market of RADICO follows a following pattern .:


                                       Rampur
                                       distillery



                                      FL2 Agents
                                        Depots



                                      RETAILERS




               End Customers                              Sub - Dealers




Transportation Means

RAMPUR DISTILLARY Plant mostly uses trucks as transport means to deliver finished
goods through depots to FL2 dealers.



                                                                                    56
Findings in Depot & Dealer Network

  •   Dealers receives good concession/ discounts to get profit

  •   An active supply chain is maintained between depots, C/F Agents and dealers to meet
      urgent requirements of end consumers

  •   Dealers prefer unconditional warranty scheme goods as they are highly demanded in
      the market.

  •   Dealers get goods from depots on credit basis through SAS scheme.

  •   Dealers enjoy market reputation of R.D..




Market Position of RADICO

IN THE LIQUER MARKET OUR POSION IS VERY GOOD WE ARE ON SECOND
NUMBER. AFTER U.B.GRUP




Observations

   Company is already maintaining the JIT (Just in time) delivery system with various

      transportation arrangements. However due to resource constraints in transport

      arrangements and other local hassle of road conditions. It is being met



                                                                                          57
with little higher cost.

   Market requirement and original equipment requirement do fluctuate due to

     there own reasons like production fluctuation, change in dispatch schedule. Due

     to which the logistic arrangements are required for frequent review and arrangements.

   The order schedule is given by the head office (Delhi). Due to some urgent order or

     some specific requirements the dispatches are delayed.

   Some time the consumption and a production cycle is not matched.

   Unconditional warranty is favorable & convincing to the customer.

   Dealers have active communication with RADICO management.

   Replacement policy of RAMPUR PLANT is convincing to dealers.




Suggestions

   The company should give some special offers or discounts to the dealers which could

     increase the sales of RADICO in the region, as dealers were found to have high

     convincing power which could influence the buyer.

   To avoid delay in dispatch RADICO RAMPUR plant should have provisions to fulfill

     urgent & special requirements.

   The company should take some efforts to make effective transportation arrangements.

     Because it affect production pricing, on-time delivery performance and customer

     satisfaction.

   The company should centralized inventory in one place and use fast transportation to

     fulfill orders. It reduces warehousing and inventory duplication cost.




                                                                                          58
 The company should shorten the order-to-payment cycle i.e. elapsed time between

   order’s receipt, delivery and payment.

 The company should manage effective logistics information management because it

   helps to link channel partners and share information to make better logistics decisions.

   Information flows such as customer’s orders, billing, inventories labels and customer

   data are closely linked with channel performance.




     DAVENDRA VATSAL

      MBA (B.E_)

     GURUKUL KANGRI VISHVIDWALYA

     HARIDWAR (U.K)




                                                                                         59
Questionnaire

TO STUDY & ANALYSE DEALERS OF RADICO & LOGISTIC SERVICES
PROVIDED BY RAMPUR DISTILLERY TO THE DEALERS


This survey is conducted in order to study the main factors affecting the logistic services provided by R.D. to the
dealers through their depots / C &F Agents, communication pattern between the two and in the dealer net work ,
transport services and the after sales services of R.D.. Please give your valuable answer to the questionnaire
given below. The study is purely academic in nature and the information provided by you would be kept
confidential.




       QUESTIONNAIRE:


           1. Do you have an active communication with Radico management?


           a) If yes, what is the mode of communication _________


           b) If no, what mode of communication would you prefer?



                                                                                                     60
2. The goods which are ordered are been timely arrived?


Yes                No


3. The means of transport used?


4. Are there any damages due to transport?


Yes                No


a) If yes, what type of damage is it ________


b) How often these types of damages occur. _________


5. What is the cycle time of the goods i.e. the time after which the goods are next
   ordered?


6. What is the no. of order cycles/ year i.e. the no. of times the ordered is been   made?


7. Damaged goods are been timely replaced by radico brands? (End consumer, Retailer)


Yes                No


8. How quickly does it take to respond to a change in demand to a customer?
< 1 week           <2 week                2-4 weeks              1month




9. Is your urgent requirement is fulfilled by Radico on time? (stock availability)




                                                                                         61
10. Specify the product which are most demanded in the market.


11. Do you receive goods from other competitive firms too?


a) Name of the firms


b) Are you satisfied with pricing policy of Radico as compared to other firms?


12. How much discount do you get from the of each of the variants that you stock?



13. Suggestions which could help in increasing your profitability.




                                                                                    62
Bibliography

                             Bibliography

Kotler Philip; Marketing Management; Prentice-Hall of India Private Limited; New

Delhi; 2001

Saxena Rajan; Marketing Management; Tata McGraw-Hill, New Delhi; 2002

Jhamb L.C.; Material and Logistics management; Everest Publishing House; Pune;

2000

Beri G.C.; Marketing Research; Tata McGraw-Hill, New Delhi; 2000

Nargundkar Rajendra; Marketing Research; Tata McGraw-Hill, New Delhi; 2004

RADICO World Web Site; www.radico.com

Website: www.indiainfoline.com




                                                                              63

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Summer training sales & logistics (1)

  • 1. SUMMER TRAINING PROJECT REPORT On ”Understandin the Sales,Logistics and oher operations of Radico Khaitan Ltd” IN
  • 2. ACKNOWLEDGEMENT My project dealing with “Understandin the sales,logistics and other operations of Radico Khaitan Ltd” provide me an exposure in the real world of business. I owe a heart-felt gratefulness to some of the people for being present all the time whenever any help was required in completion of the report. At the outset, I would like to thank Mr. K.P.SINGH (Director - Operations) & Mr. S. Pande (AGM - HR) for giving me the approval to this project in the organization. I wish to acknowledge the entire HR Team at Radico Khaitan Ltd. Special appreciation extended to Mr. Ashish Kumar Singh (Executive - HR) who helped me to shape the direction of my research work. This project would not have been possible without his help.. and Mr. A RAHMAN[G.M. LOG.] ASISH PANDY; Mr .ARUN CHAUDHARY A heartfelt thanks to the respondents surveyed whose ideas, critical insights and suggestions have been invaluable in the preparation of this report. Last but not the least a very warm thanks to all the faculty members of Gurukul Kangri vishvidwalya Haridwar. for providing me Guide lines in summer training project.
  • 3. PREFACE As a part of the partial fulfillment of the MBA programme at Gurukul Kangri , Summer Training was undertaken with the RAMPUR DISTILLERY a unit of RADICO KHAITAN Ltd. RAMPUR (U.P.). Rampur distillery is one of the biggest distilleries in India and it has working on SAP technology in the present scenario. And also trying to be a biggest industry in the Asia. The company has now completed their 50years and now using new technology day by day to improving the quality of the product. The purpose of the training was to have the practical experience of working in a Logistics Departmentand to have the exposure to the various management practices in the field of working in Logistics Dept.
  • 5. COMPANY PROFILE Radico Khaitan is one of India's oldest and largest liquor manufacturers. Formerly known as Rampur Distillery, which was established in 1943. It was only in 1999, that Radico decided to launch and market its own brands, thereby embarking on a period of phenomenal growth. To further boost its production capacity of bottled and branded products, the company has tied up with bottling units in various parts of the country. THE BRAND STORY Radico Khaitan Ltd today has three millionaire brands in its portfolio. Radico's flagship brand, 8 PM Whisky, launched in 1999, was a runaway success. In the first year alone, it sold one million cases - a record for any Indian or foreign brand operating in India. This also made it the first brand in the liquor industry to make it to the Limca Book of Records. Drinks International, the acclaimed international liquor magazine has rated 8 PM whisky as the fastest growing whisky in the world in the regional category (2004- 05). The other millionaire brands are: Contessa Rum has won the prestigious Monde Selection award for its overall quality for the past three executive years. It has a large market share in the defense market... Old Admiral Brandy has also been rated by Drinks International as the fastest growing Brandy in the world in the regional category (2004-05 and 2005-06) also it has won the Monde Selection award for its overall quality in 2004-05. Today, Radico Khaitan has brands that straddle almost every market segment - whisky, rum, brandy, vodka & gin - and price category. Our fine blends, consistent quality, distinctive packaging and superior value have resonated with customers.
  • 6. THE INTERNATIONAL LINK In a significant move aimed at catapulting the Indian liquor industry to international standards, Radico Khaitan set up its international division - Radico International - to distribute and market some of the world's best-known liquor brands, including Wines from Ernest & Julio Gallo (makers of the world's largest- selling wine, Carlo Rossi), Famous Grouse Whisky (from Highland Distillers). STRONG FINANCIALS Radico Khaitan is not just a company of great brands; it is a company of great financials. The equity shares of the company are quoted on the Mumbai and National Stock Exchanges, and the company has more than 35,000 shareholders. It is the most profitable company in the domestic liquor industry.
  • 7. VISION OF THE COMPANY MISSION OF THE COMPANY
  • 8. RADICO'S CORE VALUES Radico's Core Values are aimed at developing a customer-focused, high- performance organization, which creates value for all its stakeholders. FOCUS ON CUSTOMER Radico Khaitan believes that customer focus is very important. We give importance to deliver both value & quality to the customer. EXCELLENCE Radico will strive for excellence in whatever we do. Radico will take the right path to do whatever we do and excel in the same. RESPECT FOR PEOPLE Radico will value differences in individual perspectives. Radico want individuals to dream, create and experiment in pursuit of opportunities and achieve leadership through teamwork. INNOVATION
  • 9. Radico will constantly innovate and strive to better our processes, products, services and management practices. CORPORATE GOVERNANCE Corporate Governance at Radico means the framework to encourage the efficient use of resources and equally to require accountability for the stewardship of those resources. The aim is to align as nearly as possible the interests of individuals, corporations and society. • Ernst & Young are the internal auditors and strategic advisors and help to improve its operational efficiencies and control procedures. • Board of Directors consisting of eminent independent professionals. • Strict adherence to the accounting standards lay down by the Institute of Chartered Accountants of India. • Special attention being paid to the investors relations. Regular communication to the investors about the business developments and important vents impacting the operations. • Strict compliance with the requirement of Stock Exchanges, Securities and Exchange Board of India and other statutory authorities. • Liberal disclosures in the balance sheet over and above those required by the regulatory authorities.
  • 10. CORPORATE SOCIAL RESPONSIBILITY PROGRAMME HUNAR In accordance with Radico's mission to work towards the up-liftment of local artisans and to promote the UP handicraft, Zardozi and Chikan work it had launched 'Radico- Chikankari Aur Zardozi Pratiyogita' in association with the Indian Academy of Art & Culture, U.P. The competition was organized to bring out the creativity of the artisans and to look for young talent in the field of Chikankari & Zardozi. The event was promoted through mobile vans, pamphlet distribution in the areas where the artisans live. There were two levels of judging eminent personalities from Lucknow judged the first level and in the second level Mrs. Jaya Prada, Mrs. Kiran Khaitan, Mrs. Sucheta Merh & Mr. Swapan both designers from Kolkatta judged the first three winners. The artisans were awarded with cash prizes. The artisans have been empanelled by Radico Khaitan Ltd to form a group called "HUNAR”. To get employment for the artisans is the cause towards which the group Hunar is working. ENVIRONMENT FRIENDLY Radico Khaitan Ltd is an environment friendly company and follows all the norms for its production facility at Rampur. It has also been awarded the ISO 9001 certification for the Rampur distillery.
  • 11. RAMPUR DISTILLERY Rampur Distillery is one of the largest distilleries in India and a leading manufacturer of Extra Neutral Alcohol (used in manufacturing Indian Made foreign Liquor) it also manufacturers Rectified Spirit (used in manufacturing of lower segments Country Liquor) and manufacturing of Anhydrous Alcohol or Ethanol or Gasohol (used in Petrol Mixing) and the recent addition of grain distillery . Today with a production capacity of 60 million liters p. a and with the recent addition of the grain distillery which has taken the capacity up to 90 million lit p.a. it is one of the largest distilleries in the country The Unit has a series of firsts to its credit: It is the first Indian distillery to obtain ISO 9001:2000 certifications. It has achieved capacity utilization of over 100% in the alcohol plant. It is the first environment-friendly distillery in the country. CAPACITY • Molasses Distillery 60 million liters per annum. • Grain Distillery 30 million liters per annum. • Malt Distillery 720 thousand liters per annum. EFFLUENT TREATMENT PLANT The effluent Treatment Facility in Rampur Distillery is unique in nature when compared among and in the Industry. The Distillery complies with Zero
  • 12. Discharge concept set up by CPCB. The treatment has varied by products, which not only improves operational stability of the plants but also adds on to company's profitability. Primary Treatment of the Effluent yields Bio Gas, which is used as fuel in Cogen Boiler to generate steam and then Power through a backpressure Turbine. The backpressure steam is used again in the Distillation Plant to produce Extra Neutral Alcohol and Rectified Spirit. ENVIRONMENTALLY FRIENDLY Meeting out 100% Pollution Control norms, the Treated Effluent is not discharged outside and in turn is mixed and cured with organic mass like Press Mud of Sugar Mills and suitable organic manures to manufacture Bio Manure or Bio Compost, a bio fertilizer used successfully in growing the crop of sugar canes etc. COGENERATION PLANT The cogeneration plant of Rampur Distillery consist of 26 MT capacity India's first stand alone Bio Gas fired steam boiler and 2 MW Turbine Generator in tandem to make Radico Khaitan self reliant on its requirement for power for its normal operation. BACKWARD INTEGRATION The very first backward integration project has come in the form of setting up a fully automatic 750 ml Kidney shape PET bottle manufacturing plant in low cost and tax benefited area like Uttranchal. The unit started with production rate of 85 lacs bottle per year in October 2004 and is now geared up to produce 255 lacs PET bottles to cater Radico's own captive consumption of approx. 150 lacs bottle per year and rest is being sold to outside clients in similar businesses. The unit has not only eliminated the pressure of PET bottle suppliers but has also provided a kind of diversified manufacturing base for future business exploration.
  • 13. OWN BOTTLING UNITS Rampur Distillery has 14 state-of-the-art bottling lines, including those imported from Italy, equipped with tunnel bottle washing, filling, sealing and labeling machines with a capacity to produce 1500 cases (1 case = 12 bottles of 750 ml each) of liquor in a single shift of operation. Line capacities vary from 750 cases to 3,000 cases in a shift. To keep pace with the growing demand, Radico Khaitan has significantly increased its bottling capacity by acquiring/setting up bottling plants in the states of Rajasthan, Uttranchal and Andhra Pradesh. • Rampur Distillery, Rampur (Uttar Pradesh) • Whytehall (India) Ltd., Rampur (Uttar Pradesh) • Radico Khaitan Ltd., (Uttaranchal) • Radico Khaitan Ltd., Reengus (Rajasthan) • Radico Khaitan Ltd., Hyderabad (Andhra Pradesh) STRATEGIC BOTTLING UNITS Radico Khaitan Ltd is working continuously towards increasing its reach through the strategic bottling units across the country. The focus underlines comprehensive quality control and enhanced market penetration. Strategic Bottling Units through out India. NORTH  N V Distilleries & Breweries Ltd., (Punjab)  Gwalior Distillers, Gwalior (Madhya Pradesh)  Patiala Distillers & Manufacturers Ltd., Baddi (Himachal Pradesh)  Oakland Bottlers (P) Ltd. (Jammu & Kashmir)
  • 14. EAST  Goodhost Liquors (P) Ltd., Patna, (Bihar)  IFP Agro Industries Ltd., Kolkatta, (West Bengal)  Seven Sisters Trade & Distilleries (P) Ltd., Guwahati.(Assam)  Bacchus Bottling (P) Ltd., (Orissa)  United Brothers Distilleries (P) Ltd., (Arunachal Pradesh)  Gemini Distilleries (Jharkhand) (P) Ltd., Ranchi, (Jharkhand) SOUTH  Kamal Wineries, Hyderabad (Andhra Pradesh)  Kapitan Distillery, Hyderabad (Andhra Pradesh)  Ravikumar Distilleries (Pondicherry)  United Distillery, Calicut, (Kerala)  Sri Venkateswara Distilleries, Bangalore, (Karnataka)  BT & FC (P) Ltd., Bangalore, (Karnataka)  Midas Golden, Chennai, (Tamil Nadu)  Devicolam Distilleries, Kochi, (Kerala) WEST  Tilaknagar Industries Ltd, Tilaknagar, (Maharashtra)  Gemini Distilleries (P) Ltd. (Goa)  Ajantha Distilleries Ltd, Nagpur. (Maharashtra)
  • 15. Welcome Distilleries, Bilaspur. (Chattisgarh)  Silverstar Distillery, (Daman) HUMAN RESOURCES Radico Khaitan believes that the growth of a company depends on the collective efforts of its employees. The Human Resources Department seeks to create an environment that fosters the emergence of empowered leaders. We hire people who have the fire to grow, the potential to lead and the zeal to excel. All new hires undergo a 7-day induction and familiarization program. MARKETING In the short span of time, Radico Khaitan has been able to make the transition from being a manufacturer of Extra Neutral Alcohol to being a company with a portfolio of hugely successful brands. Our understanding of market demands and ability to satisfy consumer needs has been responsible for this. Consistently superior quality, a wide range of products, innovative packaging, pricing to suit all pockets, a nation-wide distribution network that covers 95% of retail points, clubs and bars in the country, effective advertising, and popular events and promotions. All these elements go to making up Radico Khaitan's winning marketing mix. SALES Radico Khaitan’s young and enthusiastic sales force services retail outlets across the country, understanding requirements and fulfilling them, thereby developing enduring relationships. The Sales team comprises professionals with vast domain expertise, years of experience in the liquor industry and a deep understanding of varied markets.
  • 16. ACCOUNTS FINANCE Radico Khaitan Ltd has been continuously showing growth over previous years and registering healthy profits. This has been made possible through the steps taken by the Finance department like bringing down the cost of borrowings substantially. The Efforts of the finance department has made Radico one of the best prospects for timely repayment of debts and providing the highest safety of funds for lenders. The department also has excellent financial management with strong fundamentals in the short and medium term. PRODUCTION The Production Department is responsible for operations in Radico Khaitan's bottling units. It works towards the smooth production and delivery of all the Radico Khaitan brands as per market needs. BRANDS Radico made its foray into the International Market a few years back and today Radico's brands are present in more than 30 countries. Radico has been consistently providing excellent quality in terms of both product and packaging along with outstanding service. Two of our brands 8 PM Whisky and Old Admiral brandy featured in Drinks International Magazine as the fastest growing brands in the world in the regional category. Three of our brands, Contessa XXX Rum, 8 PM Bermuda White Rum and Old Admiral brandy have won Silver Medal in prestigious Monde Selection for overall quality Our brands have already attained the leadership position in many countries.
  • 17. Radico Khaitan is now breaking into newer and sophisticated markets with liquor brands developed to appeal to a wider palate. SOME BRANDS OF THE COMPANY
  • 20. BRANDS OF THE COMPANY WHISKY The base for Indian whisky is ENA. The other ingredients used are matured Indian malt sprit, Scotch whisky concentrate, added flavors, and caramel & dm water. All these ingredients are not added at a time but different stages. 1. Special appointment whisky 2. 8pm Royale whisky 3. Whitefield whisky 4. 8pm whisky 5. Radico gold supreme whisky 6. Radico gold whisky 7. Contessa deluxe whisky 8. Rampur no.1 whisky BRANDY Brandy is a Dutch word means (Brunt Wine). In India we make brandy by blending with ENA, matured grape spirit, added flavoring. 1. Contessa Brandy 2. Old Admiral Brandy 3. White Field Brandy 4 8pm Excellency Brandy
  • 21. RUM Rum is distilled liquor made from sugarcane products, cane juice spirit along with base ENA and flavoring. 1. Contessa rum 2. Largest Rum 3. 8pm Bermuda 4. Black Cat Rum 5. Rampur No.1 6. Big Hit Rum 7. Contessa White Rum GIN Gin is alcoholic liquor obtained by distilling grain mash or redistilling sprit with botanicals such as juniper berries, angelica, lemon and orange peels, cassia bark, coriander and cardamom. 1. Contessa Gene 2. Big Hit Gene 3. Magic Moment Gene RAW MATERIAL For the production of alcohol, materials containing sustaining amount of glucose Content can be used as a raw material. But for commercial production, common raw materials used are as follows: 1. Molasses 2. Cane Juice
  • 22. 3. Sweet Potato 4. Sugar Beet 5. Grain (Barley, Rice) FUNCTIONS  Purchasing of packing materials, engineering goods, and logistics etc. function is done here.  The packing materials include carton, monochrome, bottles, and caps label etc.  The procurement of packing materials is done on the basis of 1. Forecast from marketing department for the month. 2. Tentative planning based on last month. 3. Production schedule.  Packing material accounts for 80% of all other. Material and it is the main requirement for distillery. Hence it is essential to have a proper stock of the material as per the requirement.  Label is the most critical packing material as it involves different labels for the different states as the rules and regulations are different in different states.  For finalization the vendor for packing material purchase committee where vendor is introduced and a vendor assessment from is made does it.  There are number of suppliers for packing material and purchasing is done by share of business.
  • 23.  For the engineering material indenter raise the indent and the quotations are called for the same. Then comparative is done and after that finalizing the terms and conditions purchase order is released.  Logistics of country liquor is taken care of here. The procedure for dispatch of country liquor is that the marketing department sends indent according to the demand.  For the country liquor it is the policy of state govt. that distillers should have their own depots and this depots will sell to retail vendors who will sell called as CL2A.  Transportation annual rate contract is done and the documents that are to be carried along with the CL includes excise pass PD25, invoice and challan. THE REPORTS ARE 1. Daily GPMRN register. 2. Daily statement for GPMRN sent for quality check. 3. Daily indent control registers. 4. Available stock item wise. 5. Complete item tracking. 6. Tracking of planning, scheduling and replenishment of inventory.
  • 24. 7. Item wise list of pending indents. 8. Analysis reports. 9. None / slow moving items analysis.
  • 25. MOLASSES PROCUREMENT For the purchase of molasses, final decision taken by molasses purchase committee, Headed by Mr. K.P.Singh (DIRECTOR PRODUCTION), Mr. Ajay Agarwal (Sr.VP Accounts & commercial), and Mr. J. Chaterjee (Sr. Mgr. Commercial). There are 6 storage tanks of molasses in Rampur Distillery. The total storage capacity is 6.35 lack Quintals. There is a requirement of 27 lakhs quintal/year of molasses by Rampur Distillery. Molasses is the mother liquor left after the crystallization of sugar usually contains 40 – 60 % sugar, which remains uncrystallized. It is the basic raw material used in a distillery. The department role is to have good coordination with all nearby sugar mills and find out the best pricing to suit our requirement. The price variation in the molasses affects both our alcohol sales price and production cost of IMFL and CL, hence becomes focus point in reduction of production cost. Molasses purchase committee is formed to negotiate and finalize on the rates. Chemist are sent to the loading point to have check on the quality of the molasses loaded and composite and separated collected samples are analyzed in the lab to check TRS and other parameters: 25
  • 26. TRS standard set by the Rampur Distillery: - • In Nov, Dec, Jan – Not less than 44.4 % • In Feb, Mar, Apr – Not less than 43.0 % • In May, Jun, July – Not less than 41.0 % • In Aug, Sep, Oct – Not less than 40.0 % Grades of Molasses: - • “A” Grade: - 50 % and above Molasses TRS. • “B” Grade: - 44 % to 49.9 % Molasses TRS. • “C” Grade: - 40 % to 43.9% Molasses TRS. • Below 40 % TRS is treated as Below Grade. BLENDING This department is headed by Mr.Anup Barikh (G.M. Blending) and assisted by Mr. Rambir Singh (Dyt. Manager Blending) and Mr. Mukesh Sharma 26
  • 27. In blending process ENA is reduced by mixing DM water and mixed with specific ingredients including particular Synthetic Essences, Caramel, Special Spirit, Vetted Malt Spirit, Matured Malt Spirit in specific volumes to produce a particular taste and character concentration in order to prepare a particular characteristic liquor. Caramel is standardized coloring matter (reddish brow to yellow) used to color the liquors like Rum, Brandy, Whisky. It is prepared by controlling heat of sugar under specified condition. Fermentation And Distillation: - This department is headed by Mr Devendra Singh,(VP Production) Mr Rajeev Rahlan (Sr. Manager-prod.), Mr Ompal Singh (Manager). Fermentation is the breakdown of glucose into ethyl alcohol and carbon-di-oxide by enzymes in yeast, in the absence of oxygen. Fermentation works best if the yeast and glucose solution are kept under control. The fermentation system takes about 22-30 hours to complete in a batch process with yeast culture. Step 1: Yeast vessels are the vessels used for yeast culture build up under highly acidic condition. These are closed vessels. Step 2: Prefermenters are open, mild steel vessels, providing mild aerobic conditions. Step 3: Coil cooling is providing to the fermenters to maintain suitable temperature to draw highest yeast activity. 27
  • 28. Step 4: Fermented wash contains 15-18 % ethyl alcohol. COMPUTER DEPARTMENT The computer department headed by Mr. Neeraj Srivastav – AGM-IT and assisted by Mr. Vipin Agarwal – Dy. Mgr -IT There are around 80 computers in Rampur Distillery and all are LAN connected with Outlook expressed on desktop for exchanging mails. The management of the company has taken a major IT initiative on 20 th September 2002. For its Enterprise Wide Information System the company has chosen world no. 1 package SAP (SYSTEMS APPLICATION PRODUCT OF DATA PROCESSING) To power the management of the business. All business units of Radico Khaitan Ltd. Including HO Delhi, all tie up units, regional offices, warehouses etc. now powered by SAP. Right now out of 11 modules of SAP has been implemented in Rampur Distillery in following department.  Finance Department  Accounts Department  Material Department  Sales & Distribution Department  Production & Planning Department  Human Resource Department 28
  • 29. QUALITY ASSURANCE DEPARTMENT Quality assurance department headed Sandeep Kumar Lamba-Dyt. Manager QA. Quality Assurance department is very important department because it keep controls on the input (packing material) and the output (IMFL & CL) Packing material go through from certain parameters finalized by higher authority, consist following:  Bottles • Glass Bottle • Pet Bottle  Caps  Boxes  Monocartons  Labels  Glue  Packing Tape Following parameters checked by QA Officers:  Bottles fully filled or not / Leakage  Any glass particles in bottles  Other foreign particles/ Color  Without caps/ Dirty bottles  Proper sealing or not  Labeling 29
  • 30.  Numbers of bottles in boxes COMMERCIAL (ALCOHOL MARKETING) This department in Rampur Distillery headed by Mr D.Satheesan (President Alcohol) and Mr. Rajesh Singh (Dyt. Manager). This department deals with sales of following types of alcohols to other units.  ENA – Extra Neutral Alcohol  RS – Rectified Spirit  SDS – Special Denatured Spirit  VMS – Vetted Malt Spirit  CJS – Cane Juice Spirit  MMS – Matured Malt Spirit  HBS – High Bouqut Spirit  MRS – Matured Rum Spirit Different taxes and levels on sales of spirit levied by UP Excise as follows SPIRIT TYPE INSIDE UP OUTSIDE UP ENA Rs. 0.80 / BL Rs. 3.00 / BL RS Rs. 0.80 / BL Rs. 2.50 / BL SDS (With in the State) Purchase Tax – Rs. 0.80 / BL License Fee – Rs. 0.40 / BL Denaturation Fee – Rs. 0.15 / BL (for maximum purchase of 10 lack BL Spirit) 30
  • 31. Process Of Sales: - Enquiry (Generated by the customer) Consent Letter NOC / Permit through concerned Excise officials of custom Application to Excise Commissioner, Allahabad Allotment (Permit-duty) Sales Done 31
  • 32. Rampur Distillery enjoys the credit of one of the best suppliers of ENA & RS, since it supplies consistently best quality spirit in India and overseas. Our major customers for ENA, RS, & SDS are: -  Balbir Distillery Ltd – Solan  Bengali Chemical & Pharmaceuticals – Calcutta  Central Distillery & Breweries Ltd – Meerut  United spirit Ltd – Rosa  United spirit Ltd – Meerut  Mohan Meakin Ltd. – Ghaziabad  United spirit Ltd – Hyderabad  SBL Ltd. – Ghaziabad  Trident Alco – Chem Ltd. – Ludhiana  UB Group – Bangalore  United Distillery – Calicut  Ghaziabad Organics Ltd. – Ghaziabad  Indian Glycols Ltd. – Kashipur  VAM This department is also responsible for washing and cleaning the tankers of the customers for quality satisfaction and dispatch the order with in the time bound frame. 32
  • 33. SALES DEPARTMENT Mr. A Rehman, Joint G.M (logistics & dispatches), Mr.Alok Rastogi & Mr. Sanjay Kumar saxena (Sr. comm.. officer) looks the sales department. This department handles complete documentation, liasoning with excise officials & documentation, invoice, chalan required for dispatch of IMFL –civil, grain and defense along with several kind of spirits like ENA, ETHANOL, VMS etc. Container clearance and stuffing for overseas export is also handled by it. This department also looks into the operation of getting the manufactured goods i.e. IMFL & CL, dispatched to the specific destination inside and outside of U.P. with in time bound frame. NAME OF PARTY IN UP 1)INDEX FOODS 2) AMETHYST TOWN PLANERS 3)FLORA AND FAUNA HOUSING 4)MAY FAIR SAP MATERIAL CODE USING IN RAMPUR DISTILLERY 1001528 101389 101564 104145 104146 ETC. 33
  • 34. TRANSPORTERS WORKING FOR RAMPUR DISTILLERY 1) TIME AND SAPACE HAULERS PVT. LTD.DELHI 2) SARASWATI TRANSPORT CO. DELHI 3) S.P GOLDEN PVT. LTD. MUMBAI 4) COSMO CARRYING (PVT)LTD. HYDERABAD. BILL USING IN RAMPUR DISTILLERY FOR IMFL , COUNTRY LIQUOR AND STOCK TRANSFER 34
  • 35. U.P.T.T : RR 0000377 Dt. 14.08.1967 PH. 0595-2353277 C.S.T : RR 5000435 Dt. 05.07.1957 DELIEVERY CHALLAN Gram: RADICO TIN NO 09260800001 RAMPUR DISTILLERY CHALLAN NO 000003 Date : 03.06.2012 (A UNIT OF RADICO KHAITAN LTD) E.C.ORDER NO. 5396 Date : 18.05.2012 Regd Office & Works : RAMPUR (U.P.) EXP/FLB 11 PASS NO. 88 Date : 03.06.2012 CONSIGNEE:- G.R.NO. 17747 Date : 03.06.2012 VIJAY TRADERS FL1-7 Goods Delivered/Despatches Through:- BHOGAON NORTH M/S TASH- DELHI SHOLA PUR From RAMPUR To SOLAPUR In Cases 412 CST NO-27850601511 C TIN/LST NO-27850601511 V QTY. RATE AMOUNT P A R T I C U L A R ' S (IN B.L.) RS. P. MASTERSTROKE DW 42.8% 750ML MAHARASTRA 20 1302.89 26057.8 MASTERSTROKE DW 42.8% 375ML MAHARASTRA 30 1452.36 43570.8 MASTERSTROKE DW 42.8% 180ML MAHARASTRA 304 1400.07 425621.28 MASTERSTROKE DW 42.8% 90MLPET MAHARASTRA 58 1350.73 78342.34 TOTAL C/S 412 573592.22 RS. FIVE LAC SEVENTY THREE THOUSAND FIVE HUNDRED TOTAL 573592.22 NINTY TWO AND TWENTY TWO PAISA ROUNDING OFF +/- 0 TRUCK NO-- UP22T-1427 GRAND TOTAL 573592.22 1. All disputes shall be subject to the jurisdiction at Rampur (U.P.). 2. Central Sales Tax charged @ 2% subject to the CST declaration form C/D. 3. In case C/D form is not furnished,addictional sales tax alongwith interest as applicable in U.P. shall be charged. E.& O.E. FOR RAMPUR DISTILLERY (A UNIT OF RADICO KHAITAN LTD) Prepared By Checked By AUTHORISED SIGNATORY 35
  • 36. 36
  • 37. U.P.T.T : RR 0000377 Dt. 14.08.1967 PH. 0595-2353277 C.S.T BOTTLING DEPARTMENT : RR 5000435 Dt. 05.07.1957 TIN NO 09260800001 DELIEVERY CHALLAN Gram: RADICO RAMPUR DISTILLERY CHALLAN NO 000003 Date : 03.01.09 (A UNIT OF RADICO KHAITAN LTD) E.C.ORDER NO. 5396 Date : 18.12.08 Regd Office & Works : RAMPUR (U.P.) EXP/FLB 11 PASS NO. 88 Date : 03.01.09 CONSIGNEE:- G.R.NO. 17747 Date : 03.01.09 VIJAY TRADERS FL1-7 Goods Delivered/Despatches Through:- BHOGAON NORTH M/S TASH- DELHI SHOLA PUR From RAMPUR To SOLAPUR In Cases 412 CST NO-27850601511 C TIN/LST NO-27850601511 V QTY. RATE AMOUNT P A R T I C U L A R ' S (IN B.L.) RS. P. MASTERSTROKE DW 42.8% 750ML MAHARASTRA 20 1302.89 26057.8 MASTERSTROKE DW 42.8% 375ML MAHARASTRA 30 1452.36 43570.8 MASTERSTROKE DW 42.8% 180ML MAHARASTRA 304 1400.07 425621.28 MASTERSTROKE DW 42.8% 90MLPET MAHARASTRA 58 1350.73 78342.34 TOTAL C/S 412 573592.22 RS. FIVE LAC SEVENTY THREE THOUSAND FIVE HUNDRED TOTAL 573592.22 NINTY TWO AND TWENTY TWO PAISA ROUNDING OFF +/- 0 TRUCK NO-- UP22T-1427 GRAND TOTAL 573592.22 1. All disputes shall be subject to the jurisdiction at Rampur (U.P.). 2. Central Sales Tax charged @ 2% subject to the CST declaration form C/D. 3. In case C/D form is not furnished,addictional sales tax alongwith interest as applicable in U.P. shall be charged. E.& O.E. FOR RAMPUR DISTILLERY (A UNIT OF RADICO KHAITAN LTD) Prepared By Checked By AUTHORISED SIGNATORY 37
  • 38. Bottling department is the core department of the distillery. Rampur Distillery has the best and automated bottling lines to produce potable liquor (IMFL & CL). The bottling department headed by Mr. S K Bhatt (Sr.Mgr.- Mfg.), Mr Satendra Pawar (Manager Production), and several other chemists. Bottling Maintenance department is responsible for the proper maintt and functioning of the m/cs and this department is supervised by Mr.G.B.Singh (Dy. Manager) . There are three bottling hall serving for Civil & Defense Requirement. Bottling Halls Civil Bottling Hall Defense Bottling Hall New Bottling Hall Or Rum Hall New Bottling Hall: - This bottling hall has 4 lines and caters for Country Liquor requirement. Line 1: Type – Fully Automatic Rated Speed – 240 bmp Filling – 40 Heads Sealing – 10 Heads Labeling – 10 Heads Line 2: Type – Fully Automatic 38
  • 39. Rated Speed – 180 bmp Filling – 40 Heads Sealing – 8 Heads Labeling – 10 Heads Line 3: Type – Semi Automatic Line 4: Type – Semi Automatic Defense Bottling Hall: - This bottling hall is also called as Rum House, because both 2 lines dedicated to Rums i.e. Contessa & Black Cat Rum serving for Defense Requirement. Line 1: Type – Fully Automatic Rated Speed – 240 bmp Filling – 40 Heads Sealing – 8 Heads Labeling – 10 Heads Line 2: Type – Semi Automatic Filling – 12 Heads Sealing – Semi Auto Sealing 39
  • 40. Labeling – 10 Heads Civil Bottling Hall: - This bottling hall consists of 8 lines, Line 1 & 2 for Production of Country Liquor, Line 3, 4, 5, & 6 for IMFL, and Line 7 & 8 dedicated fro 8 PM production in all size. Line 1 & 2: Type – Fully Automatic Rated Speed – 240 bmp Filling – 40 Heads Sealing – 10 Heads Labeling – 10 Heads Line 3: Rated Speed – 120 bmp Filling – 20 Heads Sealing – 8 Heads Labeling – Manual Line 4: Rated Speed – 120 bmp Filling – 20 Heads Sealing – 8 Heads Labeling – Automatic 40
  • 41. Line 5 & 6: Type – Semi Automatic Filling – In line 5 – 12 heads, in line 6 – 6 heads Sealing – Manual Labeling – Manual Line 7 & 8: Type – Fully Automatic Filling – 30 Heads Sealing – 5 Heads Labeling – MultiMatic There are five important steps in bottling house: 1. Rinsing 2. Filling 3. Inspection: There are 2 visually inspection of the bottles. Firstly the inspection before the filling and secondly after the sealing. 1st Stage: • Foreign particles in bottle • Dirty bottle • Crack in bottle 2nd Stage • Leakage 41
  • 42. • Proper sealing or not • Half filled or over filled • Without caps • Colour 4. Labeling: - After the inspection of Bottles the labeling are required for the identity of the product such as: Brand name, % of alcohol, Mrp, Batch no., Mfg date area of sale etc 5. Packaging: The last stage in the line is packaging. For packaging we use cartons STORE & PURCHASE DEPARTMENT The store & purchase department headed by Mr. Ajay Sharma (GM Materials), Mr. Sanjay Guru (Dy. Mgr. Mtrls.) Mr. Neeraj Agrawal (Asst. Mgr.-stores). The main function of this department is Purchase, Storage, Availability of materials, Development of vendors and continuous co-ordination with all other departments for minimum/ maximum inventory level of storage. Store is a place where all the materials is kept and then distributed to the concerned department on requirement basis. Purchase Department 42
  • 43. Engineering Purchase Packing Material Purchase Other than this the purchase department has a vital role in reducing the cost of production by controlling minimum inventory levels, proper check on usage of material issued to have control on wastages, development of best vendor nearby and further reducing cost of transportation, Business allocations, Co-ordination with accounts department for realization of bill in time. Steps For Purchase: - From consumer department showing the urgency 1. Purchase Indent and details of application of material. Generated by stores department to know the rates 2. Enquiry and availability of the material in the market. Vendors price rating. 3. Quotation 4. Comparative Sheet After receiving more than 4 quotations stores prepare comparative sheet showing the details viz rates, specifications and lowest vendor selection 43
  • 44. list. Looking at the comparative statement lowest and 5. Call for Vendor genuine party is called for negotiations. Selection and placing of purchase order, which mentions rates and terms and conditions of 6. Purchase Order supply. Steps For Store Management: - • Receive the material at gate along with relevant challan / invoice from supplier. • Inform the concerned user / store personal about arrival of the material. • After verification allow the vehicle to enter inside the premises. • Verify the quantity in challan of vendor against purchase order. • Prepare Material Receipt Note (MRP) and verify the nos. • If any damage is observed at the time record the remarks in MRN. • Inform the QA or concerned user department for verification of the product. • If the material is found nonconforming due to quality or quantity take appropriate action. 44
  • 45. • Transfer the material to designated location. • Send the original bill and challan to accounts and keep the records. • Receive the issue slip. Issue the material. • Insure adequate stock rotation First In First Out (FIFO) method. GRAIN SPIRIT PLANT GSP department is headed by VP Mr. Devendra Singh, assisted by Mr.Rajiv Ralhan (Sr.Mgr.-prod.), Mr. Satish Kumar (Asst.Mgr – prod.) Mr. Satendra Panwar ( Manager-Botling & Prodn.) In grain spirit plant the basic raw material is grains. Grains that are having the starch are first converted into sugar then alcohol is produced by it. Alcohol produced by grains is of higher quality than the one which is produced by molasses. The alcohol produced here is exported. In the process, the grains are first grinded and the powder so obtained is mixed with water, which forms slurry. This slurry is then put into the cooker for cooking where the steam is passed at the rate of 8kg/cm square at 190 degree centigrade. Now it is transferred in liquification tank where the temperature is maintained at 90 degree centigrade and the yeast (alpha-amylase) is added. Here we get dextrin. Dextrin so obtained is transferred into saccrification tank where the yeast (amyloglucoside) is added. This saccrified slurry is put for fermentation with baker yeast and leave for about 50 hrs. Hence we get alcohol of 8 – 9 %. 45
  • 46. Again the 8-9% alcohol obtained is put into amalyser added with steam and we get 45-50% of alcohol . GRAIN SPIRIT PLANT The newly set up grain spirit plant where rectified spirit is extracted from grains through the process of liquefaction and scarification Grain(starch) Sugar alcohol Powder + water Cooking 125 c liquification 90% Scarification <----------------------------------------------------------- 46
  • 47. Scarified slurry Baker yeast Fermentor +yeast yeast Molasses + water fermented wash CONCEPT OF LOGISTICS ARRANGEMENTS 47
  • 48. Logistics is the management of the flow of goods, information and other resources, including energy and people, between the point of origin and the point of consumption in order to meet the requirements of consumers (frequently, and originally, military organizations). Logistics involve the integration of information, transportation, inventory, warehousing, material- handling, and packaging. The term "logistics" originates from the ancient Greek "λόγος" ("logos"—"ratio, word, calculation, reason, speech, oration"). The logistics chain includes the owners (wholesalers & retailers), manufacturers, agents & transportation channels, which an item passes through between initial manufacture & final purchase by a consumer. At each stage, goods belong (as assets) to the seller until the buyer accepts them. Logistics management: Logistics management is that part of the supply chain which plans, implements and controls the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers' requirements. A professional working in the field of logistics management is called a logistician. Business logistics: Logistics as a business concept evolved only in the 1950s. This was mainly due to the increasing complexity of supplying one's business with materials and shipping out products in an increasingly globalized supply chain, calling for experts in the field who are called Supply Chain Logisticians. This can be defined as having the right item in the right quantity at the right time at the right place for the right price and is the science of process and incorporates all industry sectors. The goal of logistics work is to manage the fruition of project life cycles, supply chains and resultant efficiencies. 48
  • 49. In business, logistics may have either internal focus (inbound logistics), or external focus (outbound logistics) covering the flow and storage of materials from point of origin to point of consumption (see supply chain management). The main functions of a qualified logistician include inventory management, purchasing, transportation, warehousing, consultation and the organizing and planning of these activities. Logisticians combine a professional knowledge of each of these functions so that there is a coordination of resources in an organization. There are two fundamentally different forms of logistics. One optimizes a steady flow of material through a network of transport links and storage nodes. The other coordinates a sequence of resources to carry out some project. Production logistics: The term is used for describing logistics processes within an industry. The purpose of production logistics is to ensure that each machine and workstation is being fed with the right product in the right quantity and quality at the right point in time. The issue is not the transportation itself, but to streamline and control the flow through the value adding processes and eliminates non-value adding ones. Production logistics can be applied in existing as well as new plants. Manufacturing in an existing plant is a constantly changing process. Machines are exchanged and new ones added, which gives the opportunity to improve the production logistics system accordingly. Production logistics provides the means to achieve customer response and capital efficiency. Production logistics is getting more and more important with the decreasing batch sizes. In many industries (e.g. mobile phone) batch size one is the short term aim. This way, even a single customer demand can be fulfilled in an efficient way. Track and tracing, which is an essential part of production logistics - due to product safety and product reliability issues - is also gaining importance especially in the automotive and the medical industry. 49
  • 50. CONCEPT OF SUPPLY CHAIN MANAGEMENT Supply chain management (SCM) is the process of planning, implementing and controlling the operations of the supply chain as efficiently as possible. Supply Chain Management spans all movement and storage of raw materials, work-in-process inventory, and finished goods from point-of-origin to point-of-consumption. The definition of Supply Chain Management encompasses the planning and management of all activities involved in sourcing, procurement, conversion, and logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, Supply Chain Management integrates supply and demand management within and across companies. More recently, the loosely coupled, self-organizing network of businesses that cooperates to provide product and service offerings has been called the Extended Enterprise. Supply chain management must address the following problems: • Distribution Network Configuration: Number, location and network missions of suppliers, production facilities, distribution centers, warehouses, cross-docks and customers. • Distribution Strategy: Including questions of operating control (centralized, decentralized or shared); delivery scheme (e.g., direct shipment, pool point shipping, Cross docking, DSD (direct store delivery), closed loop shipping); mode of transportation (e.g., motor carrier, including truckload, LTL, parcel; railroad; intermodal, including TOFC and COFC; ocean freight; airfreight); replenishment strategy (e.g., pull, push or hybrid); and transportation control (e.g., owner-operated, private carrier, common carrier, contract carrier, or 3PL). • Information: Integration of and other processes through the supply chain to share valuable information, including demand signals, forecasts, inventory, transportation, and potential collaboration etc. 50
  • 51. Inventory Management: Quantity and location of inventory including raw materials, work-in-process and finished goods. • Cash-Flow: Arranging the payment terms and the methodologies for exchanging funds across entities within the supply chain. Supply chain execution is managing and coordinating the movement of materials, information and funds across the supply chain. The flow is bi-directional. Activities/functions Supply chain management is a cross-functional approach to managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and then the movement of finished goods out of the organization toward the end-consumer. As organizations strive to focus on core competencies and becoming more flexible, they have reduced their ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other entities that can perform the activities better or more cost effectively. The effect is to increase the number of organizations involved in satisfying customer demand, while reducing management control of daily logistics operations. Less control and more supply chain partners led to the creation of supply chain management concepts. The purpose of supply chain management is to improve trust and collaboration among supply chain partners, thus improving inventory visibility and improving inventory velocity. The management components of SCM (Supply Chain Management) The SCM components are the third element of the four-square circulation framework. The level of integration and management of a business process link is a function of the number and level, ranging from low to high, of components added to the link (Ellram and Cooper, 1990; Houlihan, 1985). Consequently, adding more management components or increasing the level of each component can increase the level of integration of the business process link. The literature on business process reengineering, buyer-supplier relationships and SCM suggests various possible components that must receive managerial attention when managing 51
  • 52. supply relationships. Lambert and Cooper (2000) identified the following components which are: • Planning and control • Work structure • Organization structure • Product flow facility structure • Information flow facility structure • Management methods • Power and leadership structure • Risk and reward structure • Culture and attitude Reverse Supply Chain Reverse Logistics is the process of planning, implementing and controlling the efficient, effective in bound flow and storage of secondary goods and related information opposite to the traditional supply chain direction for the purpose of recovering value or proper disposal. Reverse logistics is also referred to as "Aftermarket Customer Services". In other words, anytime money is taken from a company's Warranty Reserve or Service Logistics budget that is a Reverse Logistics operation. Project Work Undertaken 52
  • 53. Objectives of the Study The major objective of the study were Primary objective  To study logistic handling procedures.  To do a comparative market study of different brands  To study the main factors affecting the logistic services , communication pattern between the two and in the dealer network, transport services Secondary objectives  How should orders be handled? (Order Processing)  Where should stocks be located? (Warehousing)  How much stock should be held. (Inventory)  How should goods be shipped? (Transportation) LOGISTICS SERVICES: Market Logistics Physical distribution starts at the factory. Managers choose a set of warehouses (stocking points) and transportation carriers that will deliver the goods to final destinations in the desired time or at the lowest total cost. Physical distribution has now been expanded into the broader concept of supply chain management (SCM). Supply chain management starts before physical distribution: It involves procuring the right inputs (raw materials, components, 53
  • 54. and capital equipment); converting them efficiently into finished products; and dispatching them to the final destinations. The supply chain perspective can help a company identify superior suppliers and distributors and help them improve productivity, which ultimately brings down the company’s costs. Mission of the Department To make all Logistic arrangements with full compliance of law and procedures including quality standards as laid down from time to time and to ensure full satisfaction of all customers both internal with safe delivery. INTERNAL WORKING MANUAL The internal working of the Logistics Department can mainly be understood as: 1) Objective of the jobs: Objective of the jobs can be divided into its three defended categories. These categories are as follows: A) Receiving of goods: The receiving of finished goods (LIQUOR) by the department includes following things.  Size / Pattern / Quality: Different types of size of case as 750ml, 375ml, 180ml,90ml different patterns and various types of brands, which are manufactured by the company, are received by this logistics department. 54
  • 55. (ii) Quantity: The quantities of finished goods i.e. liquor are measured in terms of number of units. Findings PROCEDURES OF THE DEPARTMENT Procedure Of Handling Logistic Headquarter [Headquarter sends weakly dispatch schedule] Production Finished Raw Go m Quality Checking [Warehouse located in the company] Warehouse Nepal Export Road Transportation 55
  • 56. Export Quality Co Sales Depot [Under the company] Comparative Study – LIQUER MARKET. 1-UB GROUP 2-SEGRAM CO. Sales Channel of Replacement Market Sales Channel of Replacement Market of RADICO follows a following pattern .: Rampur distillery FL2 Agents Depots RETAILERS End Customers Sub - Dealers Transportation Means RAMPUR DISTILLARY Plant mostly uses trucks as transport means to deliver finished goods through depots to FL2 dealers. 56
  • 57. Findings in Depot & Dealer Network • Dealers receives good concession/ discounts to get profit • An active supply chain is maintained between depots, C/F Agents and dealers to meet urgent requirements of end consumers • Dealers prefer unconditional warranty scheme goods as they are highly demanded in the market. • Dealers get goods from depots on credit basis through SAS scheme. • Dealers enjoy market reputation of R.D.. Market Position of RADICO IN THE LIQUER MARKET OUR POSION IS VERY GOOD WE ARE ON SECOND NUMBER. AFTER U.B.GRUP Observations  Company is already maintaining the JIT (Just in time) delivery system with various transportation arrangements. However due to resource constraints in transport arrangements and other local hassle of road conditions. It is being met 57
  • 58. with little higher cost.  Market requirement and original equipment requirement do fluctuate due to there own reasons like production fluctuation, change in dispatch schedule. Due to which the logistic arrangements are required for frequent review and arrangements.  The order schedule is given by the head office (Delhi). Due to some urgent order or some specific requirements the dispatches are delayed.  Some time the consumption and a production cycle is not matched.  Unconditional warranty is favorable & convincing to the customer.  Dealers have active communication with RADICO management.  Replacement policy of RAMPUR PLANT is convincing to dealers. Suggestions  The company should give some special offers or discounts to the dealers which could increase the sales of RADICO in the region, as dealers were found to have high convincing power which could influence the buyer.  To avoid delay in dispatch RADICO RAMPUR plant should have provisions to fulfill urgent & special requirements.  The company should take some efforts to make effective transportation arrangements. Because it affect production pricing, on-time delivery performance and customer satisfaction.  The company should centralized inventory in one place and use fast transportation to fulfill orders. It reduces warehousing and inventory duplication cost. 58
  • 59.  The company should shorten the order-to-payment cycle i.e. elapsed time between order’s receipt, delivery and payment.  The company should manage effective logistics information management because it helps to link channel partners and share information to make better logistics decisions. Information flows such as customer’s orders, billing, inventories labels and customer data are closely linked with channel performance. DAVENDRA VATSAL MBA (B.E_) GURUKUL KANGRI VISHVIDWALYA HARIDWAR (U.K) 59
  • 60. Questionnaire TO STUDY & ANALYSE DEALERS OF RADICO & LOGISTIC SERVICES PROVIDED BY RAMPUR DISTILLERY TO THE DEALERS This survey is conducted in order to study the main factors affecting the logistic services provided by R.D. to the dealers through their depots / C &F Agents, communication pattern between the two and in the dealer net work , transport services and the after sales services of R.D.. Please give your valuable answer to the questionnaire given below. The study is purely academic in nature and the information provided by you would be kept confidential. QUESTIONNAIRE: 1. Do you have an active communication with Radico management? a) If yes, what is the mode of communication _________ b) If no, what mode of communication would you prefer? 60
  • 61. 2. The goods which are ordered are been timely arrived? Yes No 3. The means of transport used? 4. Are there any damages due to transport? Yes No a) If yes, what type of damage is it ________ b) How often these types of damages occur. _________ 5. What is the cycle time of the goods i.e. the time after which the goods are next ordered? 6. What is the no. of order cycles/ year i.e. the no. of times the ordered is been made? 7. Damaged goods are been timely replaced by radico brands? (End consumer, Retailer) Yes No 8. How quickly does it take to respond to a change in demand to a customer? < 1 week <2 week 2-4 weeks 1month 9. Is your urgent requirement is fulfilled by Radico on time? (stock availability) 61
  • 62. 10. Specify the product which are most demanded in the market. 11. Do you receive goods from other competitive firms too? a) Name of the firms b) Are you satisfied with pricing policy of Radico as compared to other firms? 12. How much discount do you get from the of each of the variants that you stock? 13. Suggestions which could help in increasing your profitability. 62
  • 63. Bibliography Bibliography Kotler Philip; Marketing Management; Prentice-Hall of India Private Limited; New Delhi; 2001 Saxena Rajan; Marketing Management; Tata McGraw-Hill, New Delhi; 2002 Jhamb L.C.; Material and Logistics management; Everest Publishing House; Pune; 2000 Beri G.C.; Marketing Research; Tata McGraw-Hill, New Delhi; 2000 Nargundkar Rajendra; Marketing Research; Tata McGraw-Hill, New Delhi; 2004 RADICO World Web Site; www.radico.com Website: www.indiainfoline.com 63