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A Project report
                          for

              Spencer’s Retail
                Mani Square, Kolkata


                     Submitted to
            Prof. Anindra Kumar Haldar
In partial fulfilment of the requirements of the course
           Retail Management In Practice
 Post Graduate Program in Business Management
                  On March 5th ‗2012
                          By
                    Nahid Anjum
               Praxis Business School
                       Kolkata
                     (2010-2012)
ACKNOWLEDGEMENT


I express my sincerest gratitude to Miss. Sharmila Das Gupta
(Branch Operations Head), Miss. Sagarika (HR Head), Mr.
Sukumar Paul (Ware house incharge) for their valuable guidance
throughout the duration of this training project. The quality of this
work owes a great deal to the help rendered by them and their
critical reviews through various stages of the project. I would also
like to express my sincere thanks to all the employees of Spencer‘s,
Mani Square, Kolkata who have been instrumental in the
successful completion of this project.
I also express my deep gratitude to our faculty Prof. Anindra
Kumar Haldar for giving me such a nice opportunity to work with
Spencer‘s and get a lot of learning and experience from here.


Nahid Anjum
Preface

With great pleasure I am presenting my project report on Retail
Management in Practice in Spencer‘s, Mani Square, Kolkata. It was
an amazing experience to get exposed to a retail corporate world with
immense learning at every step of the project and to know about the
work culture and how an organization works.

Therefore, I take this opportunity to present the project report and
sincerely hope that it will be as much knowledge enhancing to the
readers as it was to use during the fieldwork and the compilation of
the report.
Objectives of the project


The major objectives of this project are as follows:

   To get exposed to the practical situations of retail business
   To know how things work practically in retail world
   To learn to interact with various people in corporate
   To understand the importance of logistics and operations in
     retail business
   To know various details which are important in a retail company
INTRODUCTION




Date of Establishment     1996
Revenue                   Rs. 10,913 crores (FY 2007) – RPG Group
Market Cap                Rs. 8,314 crores (2007) – RPG Group


Address                   RPG Enterprises, CEAT Mahal, 463, Dr. Annie Besant
                          Road, Worli, Mumbai 400 030, Maharashtra, India
Branches                  Mumbai, Gurgaon, Ghaziabad, Lucknow, Calicut,
                          Hyderabad, Vizag, Vijayawada, Aurangabad Durgapur
                          and Kolkata
Management Team           R.P Goenka – Chairman Emeritus
                          Harsh Goenka – Chairman
                          Sanjiv Goenka – Vice Chairman
                          S Bannerjee – President/Chief Executive Power Sector
                          P.K Chowdhary – President/Chief Executive Tyre
                          Sector
                          Subroto Chattopadhayay – President/Chief Executive
                          Entertainment Sector
                          P.K Mohapatra – President/CEO, Technology Sector
                          Arvind Agrawal – President/Chief Executive Corporate
                          Development and HR
                          Ramesh Chandak - President/Chief Executive
                          Transmission Sector
                          P. Sampath Group CFO
Overview                  Spencer‘s Retail is a part of the RPG Companies that
                          deals with food, apparel, fashion, electronics, lifestyle
                          products, music and books. It operates through over 350
                          stores. It also offers services such as gift vouchers and
                          easy loans in association with CitiFinancial Consumer
                          Finance India Ltd. It consists of Spencer‘s
                          Hypermarkets, Spencer‘s Super, Spencer‘s Daily and
                          Spencer‘s Express.
Company History
YEAR                                                                       EVENTS
1987 - The company was established in the year. The main objects of the company are
marketing and distribution manufacture of Pharmaceuticals-Aerated waters and other food
products- Marketing of consumer durables- Trawlers and marine products processing- Travel
and shipping- Imports and Exports - Hotels and Catering- Tea estater-Chain departmental
stores-computer and computer services- Real Estates.

- M/s Kellner Pharmaceuticals Ltd., Vulcan Electricals Ltd., Spencer International Hotels
Ltd., Spencer, Furnitures & Furnishing, Spencer Estates Ltd., Spencer Consumer Products
and Services Ltd., Spencer Pharmaceticals Ltd., G.F.Kellner & Co. Ltd., Fiesta Restaurant
Ltd., Kartik Pharmaceuticals Ltd., and Spencer Information Services are the subsidiaries.

1995 - Spencer Industrial Fund Ltd has become a Subsidiary of Spencer International Hotels
Ltd under provision of Section 4(1) (a) of the Companies Act, 1956 and accordingly a
Subsidiary of this Company also from 24th January.

1996 - The Company has entered into a Technical Assistance cum Joint venture options
Agreement with M/s. Dairy Farm International Holdings Ltd., a major International retailing
force operating in several countries.

1997 - During the year the company has entered into a Joint Venture agreement with DFI
Mauritius Limited to enter yet another Retail Format. A chain of retail drugstores, dealing in
Medicines, Cosmetics, Toiletries and allied Health and Beauty products, is proposed to be set
up on a nation-wide basis.

- A new company has been named as RPG Guardian Private Limited and is on a mission to
lop a highly regarded retail business in India by offering excellent service and value to
customers. The company has been set up on a 50 : 50 equity partnership basis. The total paid
up capital of the company will be Rs. 450 lakhs consisting of 45,00,000 of equity shares of
Rs. 10/- each.

1998 - Mr P.K. Mohapatra appointed as Managing Director w.e.f. 1st April.

- The Company's expansion into Food Retailing through the chain of Food World
Supermarket started during 1996 made significant progress during the year. - Foodworld has
became a household name in three cities enjoying high patronage from its customers and
suppliers.

2000 - Spencer & Company, an RPG group outfit, has signed a joint venture agreement with
Dairy Farm International Mauritius (DFI) to launch a chain of large distribution
infrastrucutre, essentially meant to serve the small retailer.

- The Company will form a joint venture company, as a subsidiary of Spencer‘s.
Spencer’s Retail
Based in Kolkata, India, Spencer's Retail is one of the country's fastest growing retail
companies with approximately 2 million square feet of retail space and more than 400 stores
in 65 cities. Products include food, apparel, electronics, lifestyle products, music, and books.
Spencer's Retail is a division of RPG Enterprise, a business group with more than 20
companies in industries such as power, technology, retail, and entertainment. Established in
1979, RPG Enterprises has annual revenue of $3.25 billion.

Story Details
Spencer's Retail in India is in an enviable but challenging position instead of trying to
generate new business, it is struggling to keep up with explosive growth. Approximately two
years ago, the company had approximately 60 stores and 4,000 employees; today, it has more
than 350 stores and 15,000 employees.

By 2004 the retail industry was growing rapidly in India, and Spencer's Retail decided to
pursue an aggressive expansion strategy. The company had the customers, the products, and
the employees to make it happen. It just needed an IT infrastructure that could support rapid
growth. Current servers were at capacity, and the company needed to upgrade before adding
new stores. Amit Mukerjee, Group CIO of the RPG Group, describes the challenge as part of
the learning curve for retail development in India. ―Retailing is a new business in this
country. As the business matures, the process matures, and IT systems must evolve
accordingly.‖

" One benefit for us with Sun Microsystems is its understanding of retail and its ability to
architect a solution for this type of business. The second benefit is that Sun has the
technology to support a transaction-intensive environment, and it can provide us a solution
that can handle large amounts of data so that business runs smoothly. "
— Amit Mukherjee, Group CIO, RPG Group

The company also needed an enterprise resource planning (ERP) solution to handle critical
processes such as supply-chain management. It decided to implement mySAP ERP, now
called SAP ERP, and realized the solution needed to run on high-performance servers.
Spencer's Retail evaluated several possibilities, including servers from HP, IBM, and Sun
Microsystems. It decided to build its IT infrastructure on Sun systems for several reasons.
Sun SPARC Enterprise Servers had the performance and scalability needed to sustain its
business, and they delivered higher performance at less cost. Sun's knowledge of the retail
space in India, as well as its long history with RGP Enterprises, were also deciding factors.

Spencer's Retail chose Sun SPARC Enterprise M5000 servers with four dual-core 2.1 GHz
SPARC 64 VI processors as the center of its production environment. Designed for
consolidation and virtualization, Sun SPARC Enterprise Servers bring mainframe-class
utilization and efficiency levels to the open systems market. Supporting hardware partitions
and Solaris Containers, these systems deliver deliver 24/7 mission-critical services while
reducing power, cooling, and space requirements.
After an eight-month testing period beginning in early 2005, the company installed the SAP
ERP database software on two Sun SPARC Enterprise M5000 servers in a high-availability
cluster with Sun Cluster 3.2 software. The disaster recovery solution ensures business
continuity with advanced failover protection.The cluster is connected to a Sun StorageTek
6540 array through a Dell Brocade SW200E Switch. ASun StorageTek SL500 Modular
Library System is used for data backup as well. The solution also includes Sun SPARC
Enterprise T5120, Sun SPARC Enterprise M4000, and Sun Fire V490 servers used to support
both production and quality assurance functions.



Spencer's Retail has rolled out its SAP solution to approximately 160 stores and expects to
complete deployment to more than 350 stores by October 2008. The company purchased the
SunSpectrum Enterprise Service Plan to help support the ambitious project. Indranil Guha,
head of the ERP data center at Spencer & Co. says, ―We are always in touch with Sun; we
work with it as a partner. Good customer service is very important to us, because we run our
entire business on Sun servers.‖

The company is meeting its initial goals for a high-performance solution with room for
growth. It has already observed that data transactions run as much as five times faster on the
new systems. And it estimates that its current solution can easily handle up to 1,000 stores.
The company also appreciates that the more energy-efficient and compact design will reduce
space and power requirements.

Spencer's Retail plans to enhance its IT environment further with a new disaster recovery site,
which will include Sun Fire V890 servers and Sun SPARC Enterprise T5120 servers running
Solaris Cluster software connected to a StorageTek 6140 array. It will also use Sun
StorageTek Data Replicator Software software to mirror data between the production
environment and the remote location. Together with its new server infrastructure, the disaster
recover installation will provide the high-performance, high-availability solution the
company envisioned. With its business processes running on Sun infrastructure, Spencer's
Retail can meet business growth with confidence.
SPENCERS RETAIL LIMITED
Company Profile
Company Profile Spencer's retail is the largest* supermarket chain in India. We offer a
complete range of products & durables, from bread to bed cover; from toothpaste to even
television sets. Today Spencer's has 100 stores spread across 25 cities with a retail trading
area of more than half a million square feet, and we're growing rapidly. Spencer's is the
shopping choice for millions across the country, 2.8 million to be exact, who frequent our
stores                                    every                                       month.

Today Spencer's offers its customers a customized and convenient shopping experience in 5
different formats. Each format, namely the Spencer's Express, Spencer's Fresh, Spencer's
Daily, Spencer's Super and Spencer's Hyper is differently sized and caters to the various
needs of our consumers. We at Spencer's offer a pleasant and delightful shopping experience
by ensuring convenient store locations, trusted quality, great value for money and a wide
array of products. And these qualities characterize all of our 100 stores, across the country.



Technology in Retail: The ERP Initiative at Spencer's Retail Ltd.

Over the years, during the turn of twentieth century as the consumer demand increased and
the retailers geared up to meet this increase world over, technology evolved rapidly to
support this growth. The hardware and software tools that have now become almost essential
for retailing can be classified into 3 broad categories:

Customer Interfacing Systems

       Bar Coding and Scanners

       Point of Sale (POS) systems use scanners and bar coding to identify an item, use pre-
       stored data to calculate the cost and generate the total bill for a client.

       Payment

       Payment through credit cards has become quite widespread and this enables a fast and
       easy payment process. Electronic cheque conversion, a recent development in this
       area, processes a cheque electronically by transmitting transaction information to the
       retailer and consumer's bank.

              Internet

       Internet is also rapidly evolving as a customer interface, removing the need of a
       customer physically visiting the store.
Operation Support Systems

       ERP System

       Various Enterprise Resource Planning (ERP) vendors have developed retail-specific
       systems which help in integrating all the functions from warehousing to distribution,
       front and back office store systems and merchandising. An integrated supply chain
       helps the retailer in maintaining his stocks, getting his supplies on time, preventing
       stock-outs and thus reducing his costs, while servicing the customer better.

       CRM Systems

       The rise of loyalty programs, mail order and the Internet has provided retailers with
       real access to consumer data. Data warehousing and mining technologies offers
       retailers the tools they need to make sense of their consumer data and apply it to
       business.

       Advanced Planning and Scheduling Systems

       APS systems can provide improved control across the supply chain, all the way from
       raw material suppliers, right through to the retail shelf. They enable consolidation of
       activities such as long term budgeting, monthly forecasting, weekly factory
       scheduling and daily distribution scheduling into one overall planning process using a
       single set of data.

Strategic Decision Support Systems

       Store Site Location

       Demographics and buying patterns of residents of an area can be used to compare
       various possible sites for opening new stores. Today, software packages are helping
       retailers not only in their locational decisions but in decisions regarding store sizing
       and floor-spaces as well.

       Visual Merchandising

       The decision on how to place and stack items in a store is no more taken on the gut
       feel of the store manager. A larger number of visual merchandising tools are available
       to him to evaluate the impact of his stacking options



To manage this kind of growth, it was necessary to move out of legacy systems, as they didn't
provide the scalability that was needed. Plus, some of its stores are currently working on as
many as four different legacy systems, managing which was very difficult. It needed a
solution to manage everything under one umbrella. So it engaged a team of experts to
evaluate various solutions in the market. Spencer's found that SAP came closest to fulfilling
its needs.
An important pillar of retail business is ERP, which has three elements – People, Process and
Technology. The People part is most difficult to manage as it needs to recruit, train and
motivate people constantly, generate awareness and do change management. This makes the
task more challenging, as it needs to manage deployments in such a dynamic environment
keeping pace with the company's exponential growth plans.

Operations
Spencer's has retail footage of over 1 million square feet and over 275 Spencer's stores in 50
cities. The company operates through the following formats:

               The Spencer's Hyper stores are destination stores, of more than 15,000 sq. ft in
               size. They offer everything under one roof. The merchandise ranges from
               fruits & vegetables, processed foods (Ready to Eat, Ready to Cook, FMCG
               products),specialty foods including international, sugar free, organic foods,
               etc...groceries, meat, chicken, fish, bakery, chilled and frozen foods, garments,
               consumer electronics & electrical products, home care, home décor & home
               needs, office stationeries, soft toys. Besides, the stores also comprise book &
               music retailing, electronic gadgets and IT accessories. On an average, a
               Spencer's hyper stocks 70,000 SKUs across 35,000 items.

               The Spencer's stores are neighborhood stores ranging from 1500 less than
               15000 sq. ft. These stores stock the necessary range and assortment in fruit
               and vegetables, fmcg food and non-food, staples and frozen foods and cater to
               the daily and weekly top-up shopping needs of the consumer. Some of these
               stores which have floor area of more than 10,000 sq ft sometimes offer home
               care products; personal care products, bakery, chilled and frozen food; baby
               care, basics in garments and limited range of electronics and electrical.
Vision
To ―build Spencer‘s as the most professionally managed retail business in the country
through:

           Excellence in all operating process;
           Nurturing and facilitating a learning and growth culture;
           Building a unique retail experience for the customers‖.




Mission
Strives to exceed the aspirations of its customers for a healthy and fulfilling lifestyle by
providing:

           The most innovative customer goods and delectable taste experience.
           The ultimate shopping experience.
           Unbeatable value.
           The ―next‖ place away from home or office to relax and indulge themselves.
Formats of Spencer’s outlets




Spencer‘s has retail footage over 2 million square feet and over 400 Spencer‘s stores in
65 cities.

The Company operates through the following formats:

1. Spencer’s Hypermarkets: A fast growing retail network of hypermarkets with large
   format stores in Mumbai, Gurgaon, Ghaziabad, Lucknow, Calicut, Hyderabad,
   Vizag, Vijaywada, Aurangabad, Durgapur and Kolkata.

2. Spencer’s super: One of the largest supermarket chains in the food and grocery
   segment in India.

3. Spencer’s Daily: Small format stores conveniently located with a range of products
   to meet daily household needs.

4. Spencer’s express: Food and grocery store next door.
Spencer’s Daily




               Fresh Fruit Stall     Market stall       Manton Market




 The Spencer‘s Daily store is a friendly neighborhood store, which caters to the entire
  daily shopping needs- from regular groceries to fresh food and also weekly top-up
  shopping.
 It is about 4000-7000 sq ft in size and with a bright and friendly atmosphere;
  Spencer‘s Daily saves the hassle of bargaining with the local kirana shop owners
  (because it offers the lowest possible prices).
Spencer’s Express




 Spencer‘s Express is a store next door for the fresh needs at arm‘s length.
 These stores are around 1000 sq ft in size. They are open from 7 am to 9 pm and also
  provides with home delivery.
 The Express stores stock dairy, fruit and vegetables, bread and bread products, cut
  vegetables/ready to cook, fruit juice, fresh batter, fresh coffee/tea, fresh masalas, fresh
  pickles, fresh Ghee, fresh Fish and meat.
Spencer’s Fresh




 Spencer‘s fresh stores provide with an enjoyable and convenient shopping
  environment in very own neighborhood. These 2000 sq ft. air conditioned
  stores are well stocked with Fresh food of very best quality, such as fresh
  farm produce, vegetables, fruit, milk, eggs, breads and much more. With
  an impressive range and a clean, bright and hygienic ambience, Spencer‘s
  Fresh is far better the regular sabzi mandis or local vegetables markets and
  at Spencer‘s.
 Fresh consumers not only do get fresh, clean and tasty farm produce but
  also the lowest possible prices in the locality, yes even lower than
  sabziwala!
Spencer’s Super




 The Spencer‘s Super is the place to go for the monthly shopping.
 About 8000-15000 sq ft. in size, the Spencer‘s Super not only caters to the
  daily needs but also stocks home care products; personal care products,
  Bakery, Chilled and frozen food; Baby care besides groceries & staples, Fresh
  fruits and vegetables.
Spencer’s Hyper




 The Spencer‘s Hypermarkets are huge destination stores, more than 25,000
  sq ft. in trading area. Shoppers come here looking for fantastic deals across
  all categories.


 Hypermarkets ensure a comfortable, clean, bright and functional ambience
  to shop along with the convenience of finding everything under one roof at
  the best value for money.
Snapshot

                     Different Formats of Spencer’s


        Format             Stocks                                  Minimum Trading
                                                                     Area (sq. ft.)
Spencer’s Express   dairy, fruit and vegetables, bread and bread
                    products, fruit juice, fresh batter, fresh       1000
                    coffee/tea, masalas, pickles, Ghee, Fish and
                    meat.
Spencer’s Fresh     vegetables, fruit, milk, eggs, breads            2000

Spencer’s daily     regular groceries                              4000-7000

Spencer’s Super     home care products; personal care              8000-15000
                    products, Bakery, Chilled and frozen food;
                    Baby care products
Spencer’s Hyper     Miscellaneous                                  More than 25000
Spencer’s Mani Square
There are four distribution centers in Kolkata which supplies products to Mani Square
Spencer‘s. First one is in Dankuni from where FMCG, staples, home, work, play, furniture &
living, high tech electronics comes to Spencer‘s mani square. This Dankuni distribution
center gets its stuff from various places. The second is in south city which supplies fish &
meat on private labels. Third is also in south city which supplies fruits & vegetables and the
fourth is also in south city which supplies patisseries.




              DC code-W013
                                                   DC code-W008 South City (Fish &
    Dankuni(FMCG, staples, Home, work
                                                              meat)
            & play, electronics)




     DC code-W018 South City (Fruits &
                                                 DC code-R004 South City (Pattisaries)
              Vegetables)




Food & Staples section

Processed food and staples of various brands comes either to Dankuni DC or directly to the
store from any particular brand. Fruits & Vegetables come from local vendor to South city
DC and then to store. The quantity of order are decided on the basis of past records of sales,
so that there is no less or extra supply. Fish & meat are also ordered daily on the basis of past
data and they get the fresh food from South City DC.



Gourmet Centre
Run by an expert Food Scientist cum Cordon Bleu Chef, our food innovation wing researches
world cuisines and develops recipes for a wide range of popular and trendsetting dishes.
These form the basis for developing their own range of products, which include delicious
cookies and sauces, pickles and jams. Ingredients for these dishes are also retailed through
their stores, for those who‘d like to prepare the dishes at home.
Spencer's Patisserie - The Fresh Baked Daily
Spencer‘s Patisserie is Spencer‘s LIVE Bakery offering simple, specialty and exotic range of
freshly made bakery and confectionery items. The recipes are authentic, gathered from the
best ones from all across the world, including Indian favourites. The products are an ideal
mix of simple, specialty and exotic varieties from all across the world, including Indian
favourites. Be it Focaccia-the Italian flat bread, Baguette-the French classic, Spicy Salsa
Picante Bread-the Mexican twist, Masala Bread-pure Indian, White Bread-the simple one,
Multigrain & Whole Wheat Bread-for the health conscious are some of the breads. Hot Puffs,
the dry fruit cakes, Exotic cookies, mouth-watering cakes and pastries like Blueberry Cheese
Cake, Trio of Chocolate, Black Forest cater to all.


Wine & Spirits - Wine ignoramuses or aficionados … they cater to both, with a wide range
of wines expertly selected from as many as 181 countries. Spencer‘s was, in fact, the first
Indian retailer to offer a selection of Wine & Spirits in its stores, and the first to present an in-
store wine and cheese tasting experience to shoppers.

Meat, Chicken, Fish - the counters for fresh non-vegetarian items truly represent the finest
fresh cuts a shopper can get. Seafood lovers, can be sure to take their pick from the live fish-
tanks on display.

Live Kitchen - Live Counters with Master Chefs preparing gourmet delights are always
popular at buffets … this concept was brought to the stores in the form of the Spencer‘s Chef
Corner, a first-of-its-kind in-store experience that involves customers even as it showcases
the ingredients displayed in their Specialty Bays. From Salads to Sushi, from Pastas to Satays
and from Cheese Fondue to Cool mocktails,

Spencer’s Chef Corner gives customers an opportunity to learn more about their favourite
world cuisines.

Modern Menu – to stop by at their food court and treat oneself to a shake, swirl or savoury.


Apparels
The garment section is divided into Men, women and kids section as well as lifestyle
accessories and shoe wears. They have all the major brands in their apparels section. They
also have some private label garments.
Mother                             Dankuni                        Spencer's
 Apparel DC                            DC                            stores




The garments section includes:

   1. Watch section
   2. Sunglass section
   3. Fashion accessories



All these product range are exclusively for the High grade income level customers.



Home, Work & Play

The Home, Work & Play section is consisting of high class home furnishings and personal
grooming products. They are introducing it by the name of ―Home Centre‖. It‘s a one-stop
destination for furniture, home ware and home furnishings that enterprises elegance, luxury
and individuality. Home Centre houses a wide range of contemporary and classic furniture,
linen as well as other home accessories, thus providing customers a high range product.



Consumer Durables

This section consists of Television, Refrigerator, mixer grinder, emergency lights and other
electronic items. It includes different brands of products of different ranges.
Private brands
Private Brands in Spencer‘s offer a wide range of products from food, personal care, and
fashion to home utility items. Spencer‘s Smart Choice, Tasty Wonders, Clean Home and
Maroon are some of their brands which host a varied choice that fulfils almost all needs of a
modern household. Rice, pulses, whole spices, dry fruits and nuts, sauces, instant noodles,
breakfast cereals, honey, breads, beverage, wafers, pickles, jams and cookies- to name a few
in their food range. While the personal care range covers face wipes, tissues, baby needs,
hand wash etc. Detergents, dish wash, toilet cleaners, floor cleaners support the home needs.
 The pickles are customized to regional flavours as well. Our South Indian range of pickles
has a wide assortment catering to regional tastes.

Maroon is a brand for premium home care solutions. From cooking to serving- Maroon is
your complete kitchen partner. From a range of premium storage and kitchen utensils, to
beautifully designed melamine ware and foil wraps, you will also find smart backpacks and
convenient travel accessories.

Fruits and Vegetables another category where their private brand Spencer‘s Nature‘s Best
offers freshly packed greens which include some select exotic herbs and aromatic
ingredients.

In fashion, they have choices, both contemporary and classic. sporty or stylish, as one prefer.
Office or occasion-specific formals, casuals for lounging or leisure, and accessories like
leather items, junk jewelry and footwear to complete the look. Trendy designs in comfortable
fits and cheerful colours, to express personal style. Some of their popular labels are Island
Monks and Mark Nicolas (both for men and women), Asankhya (women‘s ethnic wear),
Scorez (sportswear), La Bonita (footwear).

All their private brand products are conveniently priced and come with a promise of great
quality. All these brands and products are available in all stores.



                                   FMCG food and non-food




                                   FMCG food only, currently in breakfast cereals, snacks and savouries




                                   Home Essentials




                                   Home cleaning products
Range of stationery range




                                Ethnic wear for women




                                Casual wear for both men and women




                                Formal wear and footwear for men




                                Sportwear for men and women




                                Kidswear




                                Footwear for all




                                Fashion Accessories




IT infrastructure
     Purchase Order raised and sent to vendor
     Goods Invert Note created to check PO rate and invoice rate
     Goods Received Note sent to Distribution Centre within 24 hours
     Sales and stock updated in SAP from back office explorer (Inbound)
     Sales and stock updated in back office explorer from SAP (Outbound)
     Vendor payment within 35 days
     Non-returnable Gate Pass is done in case of any damage or expiry return
     Products on which the margin is low, there is no stock return and therefore, no NRGP
Warehousing
The following process depicts the warehousing and flow of goods from the distribution centre
and the vendor:

       Vendor/ Distribution Centres (D.C.) agents brings in invoice and purchase order.
       The records are maintained in the vendor reporting register.
       Goods Inward Note (GIN) is prepared except for frozen & chilled.
       Pass in slips are raised from the security desk
       Goods are brought inside the warehouse.
       Spencers‘ staff tallies with (GIN)
        For any excess/damage/near to expiry/shortage/MRP mismatch discrepancy note is
       prepared.
       One sample from the goods lot is kept aside for scanning to prepare a Goods Received
       Note (GRN).
       Enter the details of GRN at the security desk.
       Security will tally all the details and release the vendor.
       In case of D.C. receiving:
           o Transfer out note is prepared with load counting sheet.
           o Trip & tick sheet is prepared.
Retail Management In Practice on Spencer's

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Retail Management In Practice on Spencer's

  • 1. A Project report for Spencer’s Retail Mani Square, Kolkata Submitted to Prof. Anindra Kumar Haldar In partial fulfilment of the requirements of the course Retail Management In Practice Post Graduate Program in Business Management On March 5th ‗2012 By Nahid Anjum Praxis Business School Kolkata (2010-2012)
  • 2. ACKNOWLEDGEMENT I express my sincerest gratitude to Miss. Sharmila Das Gupta (Branch Operations Head), Miss. Sagarika (HR Head), Mr. Sukumar Paul (Ware house incharge) for their valuable guidance throughout the duration of this training project. The quality of this work owes a great deal to the help rendered by them and their critical reviews through various stages of the project. I would also like to express my sincere thanks to all the employees of Spencer‘s, Mani Square, Kolkata who have been instrumental in the successful completion of this project. I also express my deep gratitude to our faculty Prof. Anindra Kumar Haldar for giving me such a nice opportunity to work with Spencer‘s and get a lot of learning and experience from here. Nahid Anjum
  • 3. Preface With great pleasure I am presenting my project report on Retail Management in Practice in Spencer‘s, Mani Square, Kolkata. It was an amazing experience to get exposed to a retail corporate world with immense learning at every step of the project and to know about the work culture and how an organization works. Therefore, I take this opportunity to present the project report and sincerely hope that it will be as much knowledge enhancing to the readers as it was to use during the fieldwork and the compilation of the report.
  • 4. Objectives of the project The major objectives of this project are as follows:  To get exposed to the practical situations of retail business  To know how things work practically in retail world  To learn to interact with various people in corporate  To understand the importance of logistics and operations in retail business  To know various details which are important in a retail company
  • 5. INTRODUCTION Date of Establishment 1996 Revenue Rs. 10,913 crores (FY 2007) – RPG Group Market Cap Rs. 8,314 crores (2007) – RPG Group Address RPG Enterprises, CEAT Mahal, 463, Dr. Annie Besant Road, Worli, Mumbai 400 030, Maharashtra, India Branches Mumbai, Gurgaon, Ghaziabad, Lucknow, Calicut, Hyderabad, Vizag, Vijayawada, Aurangabad Durgapur and Kolkata Management Team R.P Goenka – Chairman Emeritus Harsh Goenka – Chairman Sanjiv Goenka – Vice Chairman S Bannerjee – President/Chief Executive Power Sector P.K Chowdhary – President/Chief Executive Tyre Sector Subroto Chattopadhayay – President/Chief Executive Entertainment Sector P.K Mohapatra – President/CEO, Technology Sector Arvind Agrawal – President/Chief Executive Corporate Development and HR Ramesh Chandak - President/Chief Executive Transmission Sector P. Sampath Group CFO Overview Spencer‘s Retail is a part of the RPG Companies that deals with food, apparel, fashion, electronics, lifestyle products, music and books. It operates through over 350 stores. It also offers services such as gift vouchers and easy loans in association with CitiFinancial Consumer Finance India Ltd. It consists of Spencer‘s Hypermarkets, Spencer‘s Super, Spencer‘s Daily and Spencer‘s Express.
  • 6. Company History YEAR EVENTS 1987 - The company was established in the year. The main objects of the company are marketing and distribution manufacture of Pharmaceuticals-Aerated waters and other food products- Marketing of consumer durables- Trawlers and marine products processing- Travel and shipping- Imports and Exports - Hotels and Catering- Tea estater-Chain departmental stores-computer and computer services- Real Estates. - M/s Kellner Pharmaceuticals Ltd., Vulcan Electricals Ltd., Spencer International Hotels Ltd., Spencer, Furnitures & Furnishing, Spencer Estates Ltd., Spencer Consumer Products and Services Ltd., Spencer Pharmaceticals Ltd., G.F.Kellner & Co. Ltd., Fiesta Restaurant Ltd., Kartik Pharmaceuticals Ltd., and Spencer Information Services are the subsidiaries. 1995 - Spencer Industrial Fund Ltd has become a Subsidiary of Spencer International Hotels Ltd under provision of Section 4(1) (a) of the Companies Act, 1956 and accordingly a Subsidiary of this Company also from 24th January. 1996 - The Company has entered into a Technical Assistance cum Joint venture options Agreement with M/s. Dairy Farm International Holdings Ltd., a major International retailing force operating in several countries. 1997 - During the year the company has entered into a Joint Venture agreement with DFI Mauritius Limited to enter yet another Retail Format. A chain of retail drugstores, dealing in Medicines, Cosmetics, Toiletries and allied Health and Beauty products, is proposed to be set up on a nation-wide basis. - A new company has been named as RPG Guardian Private Limited and is on a mission to lop a highly regarded retail business in India by offering excellent service and value to customers. The company has been set up on a 50 : 50 equity partnership basis. The total paid up capital of the company will be Rs. 450 lakhs consisting of 45,00,000 of equity shares of Rs. 10/- each. 1998 - Mr P.K. Mohapatra appointed as Managing Director w.e.f. 1st April. - The Company's expansion into Food Retailing through the chain of Food World Supermarket started during 1996 made significant progress during the year. - Foodworld has became a household name in three cities enjoying high patronage from its customers and suppliers. 2000 - Spencer & Company, an RPG group outfit, has signed a joint venture agreement with Dairy Farm International Mauritius (DFI) to launch a chain of large distribution infrastrucutre, essentially meant to serve the small retailer. - The Company will form a joint venture company, as a subsidiary of Spencer‘s.
  • 7. Spencer’s Retail Based in Kolkata, India, Spencer's Retail is one of the country's fastest growing retail companies with approximately 2 million square feet of retail space and more than 400 stores in 65 cities. Products include food, apparel, electronics, lifestyle products, music, and books. Spencer's Retail is a division of RPG Enterprise, a business group with more than 20 companies in industries such as power, technology, retail, and entertainment. Established in 1979, RPG Enterprises has annual revenue of $3.25 billion. Story Details Spencer's Retail in India is in an enviable but challenging position instead of trying to generate new business, it is struggling to keep up with explosive growth. Approximately two years ago, the company had approximately 60 stores and 4,000 employees; today, it has more than 350 stores and 15,000 employees. By 2004 the retail industry was growing rapidly in India, and Spencer's Retail decided to pursue an aggressive expansion strategy. The company had the customers, the products, and the employees to make it happen. It just needed an IT infrastructure that could support rapid growth. Current servers were at capacity, and the company needed to upgrade before adding new stores. Amit Mukerjee, Group CIO of the RPG Group, describes the challenge as part of the learning curve for retail development in India. ―Retailing is a new business in this country. As the business matures, the process matures, and IT systems must evolve accordingly.‖ " One benefit for us with Sun Microsystems is its understanding of retail and its ability to architect a solution for this type of business. The second benefit is that Sun has the technology to support a transaction-intensive environment, and it can provide us a solution that can handle large amounts of data so that business runs smoothly. " — Amit Mukherjee, Group CIO, RPG Group The company also needed an enterprise resource planning (ERP) solution to handle critical processes such as supply-chain management. It decided to implement mySAP ERP, now called SAP ERP, and realized the solution needed to run on high-performance servers. Spencer's Retail evaluated several possibilities, including servers from HP, IBM, and Sun Microsystems. It decided to build its IT infrastructure on Sun systems for several reasons. Sun SPARC Enterprise Servers had the performance and scalability needed to sustain its business, and they delivered higher performance at less cost. Sun's knowledge of the retail space in India, as well as its long history with RGP Enterprises, were also deciding factors. Spencer's Retail chose Sun SPARC Enterprise M5000 servers with four dual-core 2.1 GHz SPARC 64 VI processors as the center of its production environment. Designed for consolidation and virtualization, Sun SPARC Enterprise Servers bring mainframe-class utilization and efficiency levels to the open systems market. Supporting hardware partitions and Solaris Containers, these systems deliver deliver 24/7 mission-critical services while reducing power, cooling, and space requirements.
  • 8. After an eight-month testing period beginning in early 2005, the company installed the SAP ERP database software on two Sun SPARC Enterprise M5000 servers in a high-availability cluster with Sun Cluster 3.2 software. The disaster recovery solution ensures business continuity with advanced failover protection.The cluster is connected to a Sun StorageTek 6540 array through a Dell Brocade SW200E Switch. ASun StorageTek SL500 Modular Library System is used for data backup as well. The solution also includes Sun SPARC Enterprise T5120, Sun SPARC Enterprise M4000, and Sun Fire V490 servers used to support both production and quality assurance functions. Spencer's Retail has rolled out its SAP solution to approximately 160 stores and expects to complete deployment to more than 350 stores by October 2008. The company purchased the SunSpectrum Enterprise Service Plan to help support the ambitious project. Indranil Guha, head of the ERP data center at Spencer & Co. says, ―We are always in touch with Sun; we work with it as a partner. Good customer service is very important to us, because we run our entire business on Sun servers.‖ The company is meeting its initial goals for a high-performance solution with room for growth. It has already observed that data transactions run as much as five times faster on the new systems. And it estimates that its current solution can easily handle up to 1,000 stores. The company also appreciates that the more energy-efficient and compact design will reduce space and power requirements. Spencer's Retail plans to enhance its IT environment further with a new disaster recovery site, which will include Sun Fire V890 servers and Sun SPARC Enterprise T5120 servers running Solaris Cluster software connected to a StorageTek 6140 array. It will also use Sun StorageTek Data Replicator Software software to mirror data between the production environment and the remote location. Together with its new server infrastructure, the disaster recover installation will provide the high-performance, high-availability solution the company envisioned. With its business processes running on Sun infrastructure, Spencer's Retail can meet business growth with confidence.
  • 9. SPENCERS RETAIL LIMITED Company Profile Company Profile Spencer's retail is the largest* supermarket chain in India. We offer a complete range of products & durables, from bread to bed cover; from toothpaste to even television sets. Today Spencer's has 100 stores spread across 25 cities with a retail trading area of more than half a million square feet, and we're growing rapidly. Spencer's is the shopping choice for millions across the country, 2.8 million to be exact, who frequent our stores every month. Today Spencer's offers its customers a customized and convenient shopping experience in 5 different formats. Each format, namely the Spencer's Express, Spencer's Fresh, Spencer's Daily, Spencer's Super and Spencer's Hyper is differently sized and caters to the various needs of our consumers. We at Spencer's offer a pleasant and delightful shopping experience by ensuring convenient store locations, trusted quality, great value for money and a wide array of products. And these qualities characterize all of our 100 stores, across the country. Technology in Retail: The ERP Initiative at Spencer's Retail Ltd. Over the years, during the turn of twentieth century as the consumer demand increased and the retailers geared up to meet this increase world over, technology evolved rapidly to support this growth. The hardware and software tools that have now become almost essential for retailing can be classified into 3 broad categories: Customer Interfacing Systems Bar Coding and Scanners Point of Sale (POS) systems use scanners and bar coding to identify an item, use pre- stored data to calculate the cost and generate the total bill for a client. Payment Payment through credit cards has become quite widespread and this enables a fast and easy payment process. Electronic cheque conversion, a recent development in this area, processes a cheque electronically by transmitting transaction information to the retailer and consumer's bank. Internet Internet is also rapidly evolving as a customer interface, removing the need of a customer physically visiting the store.
  • 10. Operation Support Systems ERP System Various Enterprise Resource Planning (ERP) vendors have developed retail-specific systems which help in integrating all the functions from warehousing to distribution, front and back office store systems and merchandising. An integrated supply chain helps the retailer in maintaining his stocks, getting his supplies on time, preventing stock-outs and thus reducing his costs, while servicing the customer better. CRM Systems The rise of loyalty programs, mail order and the Internet has provided retailers with real access to consumer data. Data warehousing and mining technologies offers retailers the tools they need to make sense of their consumer data and apply it to business. Advanced Planning and Scheduling Systems APS systems can provide improved control across the supply chain, all the way from raw material suppliers, right through to the retail shelf. They enable consolidation of activities such as long term budgeting, monthly forecasting, weekly factory scheduling and daily distribution scheduling into one overall planning process using a single set of data. Strategic Decision Support Systems Store Site Location Demographics and buying patterns of residents of an area can be used to compare various possible sites for opening new stores. Today, software packages are helping retailers not only in their locational decisions but in decisions regarding store sizing and floor-spaces as well. Visual Merchandising The decision on how to place and stack items in a store is no more taken on the gut feel of the store manager. A larger number of visual merchandising tools are available to him to evaluate the impact of his stacking options To manage this kind of growth, it was necessary to move out of legacy systems, as they didn't provide the scalability that was needed. Plus, some of its stores are currently working on as many as four different legacy systems, managing which was very difficult. It needed a solution to manage everything under one umbrella. So it engaged a team of experts to evaluate various solutions in the market. Spencer's found that SAP came closest to fulfilling its needs.
  • 11. An important pillar of retail business is ERP, which has three elements – People, Process and Technology. The People part is most difficult to manage as it needs to recruit, train and motivate people constantly, generate awareness and do change management. This makes the task more challenging, as it needs to manage deployments in such a dynamic environment keeping pace with the company's exponential growth plans. Operations Spencer's has retail footage of over 1 million square feet and over 275 Spencer's stores in 50 cities. The company operates through the following formats: The Spencer's Hyper stores are destination stores, of more than 15,000 sq. ft in size. They offer everything under one roof. The merchandise ranges from fruits & vegetables, processed foods (Ready to Eat, Ready to Cook, FMCG products),specialty foods including international, sugar free, organic foods, etc...groceries, meat, chicken, fish, bakery, chilled and frozen foods, garments, consumer electronics & electrical products, home care, home décor & home needs, office stationeries, soft toys. Besides, the stores also comprise book & music retailing, electronic gadgets and IT accessories. On an average, a Spencer's hyper stocks 70,000 SKUs across 35,000 items. The Spencer's stores are neighborhood stores ranging from 1500 less than 15000 sq. ft. These stores stock the necessary range and assortment in fruit and vegetables, fmcg food and non-food, staples and frozen foods and cater to the daily and weekly top-up shopping needs of the consumer. Some of these stores which have floor area of more than 10,000 sq ft sometimes offer home care products; personal care products, bakery, chilled and frozen food; baby care, basics in garments and limited range of electronics and electrical.
  • 12. Vision To ―build Spencer‘s as the most professionally managed retail business in the country through: Excellence in all operating process; Nurturing and facilitating a learning and growth culture; Building a unique retail experience for the customers‖. Mission Strives to exceed the aspirations of its customers for a healthy and fulfilling lifestyle by providing: The most innovative customer goods and delectable taste experience. The ultimate shopping experience. Unbeatable value. The ―next‖ place away from home or office to relax and indulge themselves.
  • 13. Formats of Spencer’s outlets Spencer‘s has retail footage over 2 million square feet and over 400 Spencer‘s stores in 65 cities. The Company operates through the following formats: 1. Spencer’s Hypermarkets: A fast growing retail network of hypermarkets with large format stores in Mumbai, Gurgaon, Ghaziabad, Lucknow, Calicut, Hyderabad, Vizag, Vijaywada, Aurangabad, Durgapur and Kolkata. 2. Spencer’s super: One of the largest supermarket chains in the food and grocery segment in India. 3. Spencer’s Daily: Small format stores conveniently located with a range of products to meet daily household needs. 4. Spencer’s express: Food and grocery store next door.
  • 14. Spencer’s Daily Fresh Fruit Stall Market stall Manton Market  The Spencer‘s Daily store is a friendly neighborhood store, which caters to the entire daily shopping needs- from regular groceries to fresh food and also weekly top-up shopping.  It is about 4000-7000 sq ft in size and with a bright and friendly atmosphere; Spencer‘s Daily saves the hassle of bargaining with the local kirana shop owners (because it offers the lowest possible prices).
  • 15. Spencer’s Express  Spencer‘s Express is a store next door for the fresh needs at arm‘s length.  These stores are around 1000 sq ft in size. They are open from 7 am to 9 pm and also provides with home delivery.  The Express stores stock dairy, fruit and vegetables, bread and bread products, cut vegetables/ready to cook, fruit juice, fresh batter, fresh coffee/tea, fresh masalas, fresh pickles, fresh Ghee, fresh Fish and meat.
  • 16. Spencer’s Fresh  Spencer‘s fresh stores provide with an enjoyable and convenient shopping environment in very own neighborhood. These 2000 sq ft. air conditioned stores are well stocked with Fresh food of very best quality, such as fresh farm produce, vegetables, fruit, milk, eggs, breads and much more. With an impressive range and a clean, bright and hygienic ambience, Spencer‘s Fresh is far better the regular sabzi mandis or local vegetables markets and at Spencer‘s.  Fresh consumers not only do get fresh, clean and tasty farm produce but also the lowest possible prices in the locality, yes even lower than sabziwala!
  • 17. Spencer’s Super  The Spencer‘s Super is the place to go for the monthly shopping.  About 8000-15000 sq ft. in size, the Spencer‘s Super not only caters to the daily needs but also stocks home care products; personal care products, Bakery, Chilled and frozen food; Baby care besides groceries & staples, Fresh fruits and vegetables.
  • 18. Spencer’s Hyper  The Spencer‘s Hypermarkets are huge destination stores, more than 25,000 sq ft. in trading area. Shoppers come here looking for fantastic deals across all categories.  Hypermarkets ensure a comfortable, clean, bright and functional ambience to shop along with the convenience of finding everything under one roof at the best value for money.
  • 19. Snapshot Different Formats of Spencer’s Format Stocks Minimum Trading Area (sq. ft.) Spencer’s Express dairy, fruit and vegetables, bread and bread products, fruit juice, fresh batter, fresh 1000 coffee/tea, masalas, pickles, Ghee, Fish and meat. Spencer’s Fresh vegetables, fruit, milk, eggs, breads 2000 Spencer’s daily regular groceries 4000-7000 Spencer’s Super home care products; personal care 8000-15000 products, Bakery, Chilled and frozen food; Baby care products Spencer’s Hyper Miscellaneous More than 25000
  • 20. Spencer’s Mani Square There are four distribution centers in Kolkata which supplies products to Mani Square Spencer‘s. First one is in Dankuni from where FMCG, staples, home, work, play, furniture & living, high tech electronics comes to Spencer‘s mani square. This Dankuni distribution center gets its stuff from various places. The second is in south city which supplies fish & meat on private labels. Third is also in south city which supplies fruits & vegetables and the fourth is also in south city which supplies patisseries. DC code-W013 DC code-W008 South City (Fish & Dankuni(FMCG, staples, Home, work meat) & play, electronics) DC code-W018 South City (Fruits & DC code-R004 South City (Pattisaries) Vegetables) Food & Staples section Processed food and staples of various brands comes either to Dankuni DC or directly to the store from any particular brand. Fruits & Vegetables come from local vendor to South city DC and then to store. The quantity of order are decided on the basis of past records of sales, so that there is no less or extra supply. Fish & meat are also ordered daily on the basis of past data and they get the fresh food from South City DC. Gourmet Centre Run by an expert Food Scientist cum Cordon Bleu Chef, our food innovation wing researches world cuisines and develops recipes for a wide range of popular and trendsetting dishes. These form the basis for developing their own range of products, which include delicious cookies and sauces, pickles and jams. Ingredients for these dishes are also retailed through their stores, for those who‘d like to prepare the dishes at home.
  • 21. Spencer's Patisserie - The Fresh Baked Daily Spencer‘s Patisserie is Spencer‘s LIVE Bakery offering simple, specialty and exotic range of freshly made bakery and confectionery items. The recipes are authentic, gathered from the best ones from all across the world, including Indian favourites. The products are an ideal mix of simple, specialty and exotic varieties from all across the world, including Indian favourites. Be it Focaccia-the Italian flat bread, Baguette-the French classic, Spicy Salsa Picante Bread-the Mexican twist, Masala Bread-pure Indian, White Bread-the simple one, Multigrain & Whole Wheat Bread-for the health conscious are some of the breads. Hot Puffs, the dry fruit cakes, Exotic cookies, mouth-watering cakes and pastries like Blueberry Cheese Cake, Trio of Chocolate, Black Forest cater to all. Wine & Spirits - Wine ignoramuses or aficionados … they cater to both, with a wide range of wines expertly selected from as many as 181 countries. Spencer‘s was, in fact, the first Indian retailer to offer a selection of Wine & Spirits in its stores, and the first to present an in- store wine and cheese tasting experience to shoppers. Meat, Chicken, Fish - the counters for fresh non-vegetarian items truly represent the finest fresh cuts a shopper can get. Seafood lovers, can be sure to take their pick from the live fish- tanks on display. Live Kitchen - Live Counters with Master Chefs preparing gourmet delights are always popular at buffets … this concept was brought to the stores in the form of the Spencer‘s Chef Corner, a first-of-its-kind in-store experience that involves customers even as it showcases the ingredients displayed in their Specialty Bays. From Salads to Sushi, from Pastas to Satays and from Cheese Fondue to Cool mocktails, Spencer’s Chef Corner gives customers an opportunity to learn more about their favourite world cuisines. Modern Menu – to stop by at their food court and treat oneself to a shake, swirl or savoury. Apparels The garment section is divided into Men, women and kids section as well as lifestyle accessories and shoe wears. They have all the major brands in their apparels section. They also have some private label garments.
  • 22. Mother Dankuni Spencer's Apparel DC DC stores The garments section includes: 1. Watch section 2. Sunglass section 3. Fashion accessories All these product range are exclusively for the High grade income level customers. Home, Work & Play The Home, Work & Play section is consisting of high class home furnishings and personal grooming products. They are introducing it by the name of ―Home Centre‖. It‘s a one-stop destination for furniture, home ware and home furnishings that enterprises elegance, luxury and individuality. Home Centre houses a wide range of contemporary and classic furniture, linen as well as other home accessories, thus providing customers a high range product. Consumer Durables This section consists of Television, Refrigerator, mixer grinder, emergency lights and other electronic items. It includes different brands of products of different ranges.
  • 23. Private brands Private Brands in Spencer‘s offer a wide range of products from food, personal care, and fashion to home utility items. Spencer‘s Smart Choice, Tasty Wonders, Clean Home and Maroon are some of their brands which host a varied choice that fulfils almost all needs of a modern household. Rice, pulses, whole spices, dry fruits and nuts, sauces, instant noodles, breakfast cereals, honey, breads, beverage, wafers, pickles, jams and cookies- to name a few in their food range. While the personal care range covers face wipes, tissues, baby needs, hand wash etc. Detergents, dish wash, toilet cleaners, floor cleaners support the home needs. The pickles are customized to regional flavours as well. Our South Indian range of pickles has a wide assortment catering to regional tastes. Maroon is a brand for premium home care solutions. From cooking to serving- Maroon is your complete kitchen partner. From a range of premium storage and kitchen utensils, to beautifully designed melamine ware and foil wraps, you will also find smart backpacks and convenient travel accessories. Fruits and Vegetables another category where their private brand Spencer‘s Nature‘s Best offers freshly packed greens which include some select exotic herbs and aromatic ingredients. In fashion, they have choices, both contemporary and classic. sporty or stylish, as one prefer. Office or occasion-specific formals, casuals for lounging or leisure, and accessories like leather items, junk jewelry and footwear to complete the look. Trendy designs in comfortable fits and cheerful colours, to express personal style. Some of their popular labels are Island Monks and Mark Nicolas (both for men and women), Asankhya (women‘s ethnic wear), Scorez (sportswear), La Bonita (footwear). All their private brand products are conveniently priced and come with a promise of great quality. All these brands and products are available in all stores. FMCG food and non-food FMCG food only, currently in breakfast cereals, snacks and savouries Home Essentials Home cleaning products
  • 24. Range of stationery range Ethnic wear for women Casual wear for both men and women Formal wear and footwear for men Sportwear for men and women Kidswear Footwear for all Fashion Accessories IT infrastructure Purchase Order raised and sent to vendor Goods Invert Note created to check PO rate and invoice rate Goods Received Note sent to Distribution Centre within 24 hours Sales and stock updated in SAP from back office explorer (Inbound) Sales and stock updated in back office explorer from SAP (Outbound) Vendor payment within 35 days Non-returnable Gate Pass is done in case of any damage or expiry return Products on which the margin is low, there is no stock return and therefore, no NRGP
  • 25. Warehousing The following process depicts the warehousing and flow of goods from the distribution centre and the vendor: Vendor/ Distribution Centres (D.C.) agents brings in invoice and purchase order. The records are maintained in the vendor reporting register. Goods Inward Note (GIN) is prepared except for frozen & chilled. Pass in slips are raised from the security desk Goods are brought inside the warehouse. Spencers‘ staff tallies with (GIN) For any excess/damage/near to expiry/shortage/MRP mismatch discrepancy note is prepared. One sample from the goods lot is kept aside for scanning to prepare a Goods Received Note (GRN). Enter the details of GRN at the security desk. Security will tally all the details and release the vendor. In case of D.C. receiving: o Transfer out note is prepared with load counting sheet. o Trip & tick sheet is prepared.